Author: Saroj Kumari
What are imports? Imports are goods and services that a country buys from abroad for use within its territory. Along with exports, they are essential in national accounting. Some Important points They facilitate access to products not available in the national market. They allow consumers to buy foreign products cheaper than local ones. Import regulation seeks to balance the local economy with international trade. Imports can affect the trade balance if they exceed exports. Imports: A Simple Explanation Imports are simply goods or services that one country (importer) buys from another (exporter) for use. This allows for products that are…
What is Present Value? Present value (PV) is the value that a certain cash flow that we will receive in the future has today. Some Important points It allows for a fair comparison of the value of amounts of money at different points in time. Requires knowledge of future money amounts and a discount rate. It is done because there is a premise that having money now is preferable because it can be invested or spent immediately. Present Value: A Simple Explanation In simpler terms, value is a calculation made to determine the current value of an amount of money…
What is social science? Social science is the study of human behavior within society, addressing both individual and collective perspectives. This discipline seeks to understand how people organize, interact, and behave in different social situations. Some Important points Its objective is to know and understand human behavior in social contexts. They help improve our communities and quality of life by better understanding our social interactions and structures. They officially emerged in the 18th century. The different branches that include social science These branches are as follows: Economics. Another important branch is this one, which deals with studying, evaluating, and researching…
What is a qualitative variable? The qualitative variable is that statistical variable that expresses a quality, or characteristic, of the object or individual in question. Some Important points The difference with quantitative ones is that qualitative ones are described with words and quantitative ones with numbers. The types that exist are: Dichotomous (two values) and polytomous (more than two values), subdivided into nominal (without order) and ordinal (with order). A qualitative variable describes non-numerical qualities or characteristics. Types of qualitative variables The types are as follows: Dichotomous or binary: Only two possibilities are allowed. For example, national or foreign. Polytomous: They can have more…
What is the geometric mean? The geometric mean is a type of mean that is calculated as the square root of the product of a set of strictly positive numbers. Some Important Points It is less sensitive to extreme values compared to the arithmetic mean. Cannot be used with negative numbers. It is useful for averaging percentages and growth rates. Geometric Mean: Simple Explanation Put another way, the geometric mean is a way of finding the “average” of several positive numbers, especially useful when those numbers represent growth rates or percentages. It is used by multiplying all the numbers together and then…