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Positive covenant (of a bond) |
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Positive covenant (of a bond)A bond covenant that specifies certain actions the firm must take. Also called an affirmative covenant.Positive covenant (of a bond) Similar MatchesPositive Sum RelationshipPositive Sum RelationshipA positive sum relationship is a relationship between two entities which are, as a sum, better off from the participation of that relationship. This is in contrast to a zero sum relationship, where the outcome of the relationship is a gain for one participant at the direct expense of the other. Examples of positive sum relationships can be found in business transactions (trade in general) and in biology (bumblebee and the flower). Long term positive sum relationships are also known as symbiotic relationships. Zero sum relationships can also been seen in biology (the food chain) and in games, such as chess and checkers. Game Theory tries to predict best decision making outcomes based on the relationships of participants, and the consequence of decisions based on positive sum relationships or zero sum relationships. PositivePositiveRefers to "what is," in contrast to normative which involves value judgments as to "what ought to be." The word is not, in this use, the opposite of either "negative" or "harmful." Positive convexityPositive convexityA property of option-free bonds that the price appreciation for a large downward change in interest rates will be greater (in absolute terms) than the price depreciation for the same downward change in interest rates. Positive externalityPositive externalityA beneficial externality; that is, a beneficial effect of one economic agent's actions on another. Considered a distortion because the first agent has inadequate incentive to act. Examples are the attractiveness of well-kept farms for the tourism industry (a production externality) and reduced contagion of disease due to vaccines (a consumption externality). Extraordinary positive valueExtraordinary positive valueA positive net present value. Further SuggestionsPositive carryPositive yield curve Positive list Positive float |
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