Tag: theory

DefinitionIn microeconomics, the law of demand states that, "conditional on all else being equal, as the price of a good increases, quantity demanded decreases...

Larry Montgomery What is 'Larry Montgomery ' A former CEO and chairman of Kohl's department stores. Montgomery joined Kohl's in 1988...

DefinitionIn probability theory, the law of large numbers is a theorem that describes the result of performing the same experiment a large number of...

What is the law of diminishing marginal utility The law of diminishing marginal utility is the principle that as a person consumes more of a...

DefinitionThe law of supply is a fundamental principle of economic theory which states that, keeping other factors constant, an increase in price results in...

What is 'Lanchester Strategy' A war strategy that has been successfully applied in the business context to entering new markets. The strategy...

DefinitionLaissez-faire is an economic system in which transactions between private parties are free from government intervention such as regulation, privileges, tariffs and subsidies. The...

DefinitionThe law of one price constitutes the basis of the theory of purchasing power parity, an assumption that in some circumstances it would cost...

DefinitionIn microeconomics, supply and demand is an economic model of price determination in a market. It postulates that, holding all else equal, in a...

DefinitionIn economics, economic equilibrium is a state where economic forces such as supply and demand are balanced and in the absence of external influences...