Finance

The term “credit crunch” refers to a situation in which access to credit becomes significantly more difficult for borrowers. A credit crunch is a sudden…

The “Spahn tax” is a proposal for a tax on financial transactions, named after the German economist and politician Friedrich Wilhelm Spahn. It is a…

The Tobin Tax is a proposed tax on international financial transactions, named after the economist James Tobin who first suggested the idea in 1972. The…

A vulture fund is a type of investment fund that invests in distressed debt, usually in the form of bonds or other debt securities, that…

A government bond, also known as a sovereign bond, is a debt security issued by a national government to finance its budget deficits, infrastructure projects,…

Maturity transformation refers to the practice of financial institutions, such as banks, using short-term funding sources, such as deposits, to fund long-term investments, such as…

Domestic liability dollarization (DLD) refers to a situation where residents of a country borrow or hold debt in a foreign currency, typically the US dollar,…

A debt crisis occurs when a government (nation, state/province, county, or city, for example) loses its ability to repay its governmental debt. This can happen…

Debt sculpting is a financial strategy used by individuals or businesses to manage their debts. The goal of debt sculpting is to reduce the total…

Asset-liability mismatch refers to a situation in which an institution, such as a bank or an investment firm, has assets and liabilities with mismatched maturities…

Sectoral balances refer to the accounting identities that describe the relationships between the three main sectors of an economy: the government sector, the private sector,…

Inheritance tax, also known as estate tax or death tax, is a tax that is levied on the value of property or assets that are…