What is 'Economic Depreciation' Economic depreciation is a measure of the decrease in value of an asset over time. This form of depreciation usually pertains to real estate, which can lose value due to indirect causes such...
What is 'Earmarking' Earmaking consists of funds (or capital) that are set aside to pay for a specific project or event. In some cases, the term is also synonymous with the word "flagged", or "marked", especially when...
What is 'Early Majority' The first sizable segment of a population to adopt an innovative technology. The early majority tends to be roughly 34% of the population, and will adopt a new product after seeing it used...
What does 'Earnings Power Value - EPV' mean Earnings power value (EPV) is a technique for valuing stocks by making an assumption about the sustainability of current earnings and the cost of capital but assuming no further...
What is 'Earning Potential' The possible upside of the earnings that could be generated for each share outstanding of a particular stock. Earning potential reflects the largest possible profit that a corporation can make. It is often...
What is 'Eco-Communalism' An economic/environmental philosophy focused upon local economies, sustainability and self-sufficiency. Eco-communalism is centered upon the belief that many self-sufficient local economies connected to one another will be a greater benefit to society as a...
What is the 'EBITDA-To-Interest Coverage Ratio' The EBITDA-to-interest coverage ratio is a ratio that is used to assess a company's financial durability by examining whether it is at least profitably enough to pay off its interest expenses....
What is 'Earnings Before Interest, Tax, Amortization And Exceptional Items - EBITAE' An accounting metric often used to deduct the amortization of intangible assets to arrive at a value. Companies will use EBITAE not only as a...
In microeconomics, economies of scale are the cost advantages that enterprises obtain due to their scale of operation, with cost per unit of output decreasing with increasing scale. Companies achieve economies of scale by increasing production and lowering costs....
Definition
Economy-based statistics are used to economic data, and econometrics may be defined as the discipline of economics that tries to provide empirical content for economic relationships. For better definition, it is "the quantitative study of actual economic events based...