Variable


 

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Variable

An element in a model. For example, in the model RS&Pt+1 = a + b Tbill t + et, where RS&Pt+1 is the return on the S&P in month t+1 and Tbill is the Tbill return at month t, both RS&P and Tbill are "variables" because they change through time; i.e., they are not constant.



Variable

Similar Matches

Endogenous variable

Endogenous variable

A value determined within the context of a model. Related: Exogenous variable.


Endogenous variable

Endogenous variable

An economic variable that is determined within a model. It is therefore not subject to direct manipulation by the modeler, since that would override the model. In trade models, the quantity of trade itself is almost always endogenous. Contrasts with exogenous variable.


Variable rate loan

Variable rate loan

Loan made at an interest rate that fluctuates depending on a base interest rate, such as the prime rate or LIBOR.


Variable cost

Variable cost

A cost that is directly proportional to the volume of output produced. When production is zero, the variable cost is equal to zero.


Variable rated demand bond (VRDB)

Variable rated demand bond (VRDB)

Floating-rate bond that periodically can be sold back to the issuer.


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