constant growth stock
11Neoclassical growth model — See also: Ramsey growth model The neoclassical growth model, also known as the Solow–Swan growth model or exogenous growth model, is a class of economic models of long run economic growth set within the framework of neoclassical economics.… …
12economic growth — Process by which a nation s wealth increases over time. The most widely used measure of economic growth is the real rate of growth in a country s total output of goods and services (gauged by the gross domestic product adjusted for inflation, or… …
13Supernormal Dividend Growth — A period of time in which the dividends issued on shares of a stock are inceasing at a higher than average rate. The high growth rate of payouts are seen as above normal, thus supernormal . Because this rate is also expected to be unsustainable,… …
14Cyclical Stock — A stock that rises quickly when economic growth is strong and falls rapidly when growth is slowing down. An example is the automobile market: as economic growth slows, consumers have less money to spend on new cars. Non cyclical stocks would be… …
15Balanced-growth equilibrium — In the standard exogenous growth model the type of equilibrium studied is a balanced growth equilibrium. In the balanced growth equilibrium the capital intensity of the economy its capital stockdivided by its total output is constant. However,… …
16P/E ratio — The P/E ratio (price to earnings ratio) of a stock (also called its earnings multiple, or simply multiple, P/E, or PE ) is a measure of the price paid for a share relative to the annual income or profit earned by the firm per share. [cite web|url …
17Gordon model — The Gordon growth model is a variant of the discounted cash flow model, a method for valuing a stock or business. Often used to provide difficult to resolve valuation issues for litigation, tax planning, and business transactions that don t have… …
18Economic Affairs — ▪ 2006 Introduction In 2005 rising U.S. deficits, tight monetary policies, and higher oil prices triggered by hurricane damage in the Gulf of Mexico were moderating influences on the world economy and on U.S. stock markets, but some other… …
19Outline of finance — The following outline is provided as an overview of and topical guide to finance: Finance – addresses the ways in which individuals, businesses and organizations raise, allocate and use monetary resources over time, taking into account the risks… …
20Real Business Cycle Theory — (or RBC Theory) is a class of macroeconomic models in which business cycle fluctuations to a large extent can be accounted for by real (in contrast to nominal) shocks. (The four primary economic fluctuations are secular (trend), business cycle,… …
