ECONOMIC TERM

O–R

BAHASA INGGRIS NIAGA

Disusun Oleh :
Antika Gaendah Putri (030589866)
Agus Supriadi (030208552)
Heni Sofia Ningrun (021143976)
Mila Yulinda (023951324)
Puput Galih Saputri (030206029)

UNIVERSITAS TERBUKA
2017
A. OECD
A Paris – based club for industrialized countries and the best of the rest. It was formed in
1961, which had been established under the Marshall Plan. By 2003,its membership had
risen to 30 countries, from an original 20. OECD countries produce two-thirds of the
world’s goods an services. The OECD provides a policy talking shop for goverments.

For example : corruption in the form of bribery is done by the big businessmen from
developed countries.

B. OFFSHORE
This occurs where the usual rules of a person or firm’s home country do not apply.
It can be literally offshore, as in the case of investors moving their money to a
Caribbeaan Island tax haven. Or it can be merely legally offshore, as in the case of
certain financial transactions that take place within.

Example : City of London

Which are deemed for regulatory purposes to have taken place, offshore.

C. OKUN’S LAW
A description of what happens to unemployment when the rate of growth of GOP
changes, based on empirical research by Arthur Oxun ( 1928 -80 ). It predicsts that if
GOP grows at around 3 % a year , the jobless rate wall be unchanged.

Example : Pertumbuhan kenaikan ekonomi di Indonesia mengakibatkan jumlah

pengangguran berkurang.

D. Oligopoly
This happens when a few firms dominate a market.

Example : Persaingan antar perusahaan telekomunikasi selular yang secara tidak

langsung menyindir pesaingannya dengan tariff telepon lebih murah padahal belum
tentu kualitas nya bagus.

E. OPEC
Cartel set up in 1960 that wrougt havoc in industrialised countries during the 1970 S
and early 1980 S by forcing up oil prices , resultingin hight inflationand slow growth.

Example : Harga minyak naik setelah OPEC sepakat turunkan produksi.

F. OPEN ECONOMY
An economy that allows the unrestricted flow of people, capital, goods andservices
across its borders: the opposite of a closed economy.

Example : Indonesia mengexspor kain batik ke eropa.

G. OPEN MARKET OPERATIONS

Central Banks buying and selling securities in the open market,as a way of controlling
interest rates or the growthof the money supply.

Example : Bank Indonesia membeli / menjual surat-surat berharga kepada masyarakat.

H. Opportunity Cost
This is the true cost of something that you give up to get it. This includes not only the
money spent in buying (or doing) the something, but also the economic benefits (utility)
that you did without because you bought (or did) thar particular something and thus can
no longer buy (or do) something else.

- Ini adalah biaya sebenarnya dari sesuatu yang Anda berikan untuk
mendapatkannya. Ini termasuk tidak hanya uang yang dihabiskan untuk membeli
(atau melakukan) sesuatu, tapi juga manfaat ekonomi (utilitas) yang Anda lakukan
tanpa karena Anda membeli (atau melakukan) sesuatu tertentu dan dengan
demikian tidak dapat lagi membeli (atau melakukan) sesuatu yang lain.

A. OPTIMAL CURRENCY AREA

It’s a geographical areea within which it would pay to have a single currency. An optimal
currency area can come in many sizes. Some may span several countries and others
may be smaller than an individual country.

- Ini adalah wilayah geografis di mana ia akan membayar untuk memiliki mata uang
tunggal. Area mata uang yang optimal bisa datang dalam berbagai ukuran.
Beberapa mungkin menjangkau beberapa negara dan negara bagian lainnya
mungkin lebih kecil daripada negara tertentu.

B. OPTIMUM
For the concept of optimum to mean anything, there must be both a goal, say, to
maximise economic welfare, and a set of constraints, such as an available stock of
scarce economic resource.

- Untuk konsep optimal berarti apa adanya, harus ada tujuan, katakanlah, untuk
memaksimalkan kesejahteraan ekonomi, dan seperangkat kendala, seperti stok
sumber daya ekonomi langka yang tersedia.
A. OUTPUT
This is the fruit of economic activity : whathever is produced by using the factors of
production.

- Inilah kegiatan ekonomi: apa yang dihasilkan dengan menggunakan faktor produksi.

B. OUTPUT GAP
It is how far an economy’s current output is below what it would be at full capacity. On
average, inflation rises when output is above potential and falls when output is below
potential.

- Ini adalah seberapa jauh output arus ekonomi di bawah kapasitasnya. Rata-rata,
inflasi naik ketika output berada di atas potensi dan turun saat output di bawah
potensi.

C. OUTSOURCING
Its is some shifting activities that used to be done inside a firm to an outside company,
which can do them more cost-effectively. a firm that out sources can improve its
efficiency by focusing on those activities in which it can create the most value; the firm to
which it out sources can also increase efficiency by specialising in that activity, is the
theory. in practice, managing the outsourcing process can be tricky, particularly for more
complex activities.

- Ini adalah beberapa aktivitas bergeser yang dulu dilakukan di dalam perusahaan ke
perusahaan luar, yang dapat melakukannya dengan biaya yang lebih efektif. Sebuah
perusahaan yang sumber dapat meningkatkan efisiensinya dengan memusatkan
perhatian pada aktivitas di mana ia dapat menciptakan nilai tertinggi; perusahaan
yang sumbernya bisa juga meningkatkan efisiensi dengan mengkhususkan diri pada
aktivitas itu, adalah teorinya. Dalam prakteknya, mengelola proses outsourcing bisa
menjadi rumit, terutama untuk kegiatan yang lebih kompleks.

D. OUTWARD INVESTMENT
This is an investing abroad; the opposite of inward investment.

- Ini adalah investasi di luar negeri; kebalikan dari investasi masuk.

E. OVER THE COUNTER

In the case of financial securities, those that are bought or sold through a private dealer
or bank rather than on a financial exchange.

- Dalam kasus sekuritas keuangan, barang yang dibeli atau dijual melalui agen atau
bank swasta bukan di bursa keuangan.

F. OVERHEATING
 This happens when an economy is growing too fast and its productive capacity cannot
keep up with demand. It often boils over into inflation.

- Hal ini terjadi ketika ekonomi tumbuh terlalu cepat dan kapasitas produktifnya tidak
dapat mengikuti permintaan. Ini sering bermuara pada inflasi.

G. OVERSHOOTING
It’s the common tendency of prices in financial markets initially to move further than
would seem strictly necessary in response to changes in the fundamentals that should,
in theory, determine value. Overshooting is especially common during significant
realignments of exchange rates, but there are plenty of other example.

- Ini adalah kecenderungan umum harga di pasar keuangan pada awalnya untuk
bergerak lebih jauh daripada yang tampaknya sangat diperlukan dalam menanggapi
perubahan fundamental yang seharusnya, secara teori, menentukan nilai.
Overshooting sangat umum terjadi pada penyesuaian nilai tukar yang signifikan,
namun ada banyak contoh lainnya.

A. Pareto efficiency ( efisiensi parato ) it is a situation in which nobody can be made better
of without making somebody else worse off.

B. Paris club it is the name given to the arrangements through which countries reschedule
their official debt that is money borrowed from other goverments rather than banks or
private firms

C. Patents ( Hak paten ) in 1899 the commisisioner of the american office of patents
recommended that his office be abolished because everything that can be invented has
been invented.

D. Path dependence ( ketergantungan path ) in economics path dependence refers to the

way in which apparently insignificant events and choices can have huge consequences
for the development of a market or an economy.

E. Peak pricing( harga puncak ) it is when capacity is pixed and demand varies during a
time period it may make sense to charge above average prices when demand peaks

F. Percentage point ( persentasi poin ) it is most competitive market imaginable , perfect

competition is rare and may not even exist , it is so competitive that any individual buyer
or seller has a negligible impact on the market price .

G. Percentile ( persentil ) it is of the 'ile' family that signposts positions on a scale of

numbers . thepercentile on say the distribution of income is the richest 1% of the
population
H. Perfect competition ( kompetensi sempurna ) it is the most competitive market
imaginable perfect competition is rare and may not even exist . product are
homogeiformation is perfect

I. Permanent income hypothesis over their lives people try to spread their spending
more evenly than their income , the permanent income hypothesis developed by milton
fried man
J. Phillips curve in 1958 an economist from new zealand A.W.H philips ( 1914-75)
proposed that there was a trade off between inflation and unemployment the lower the
unemployment rate , the higher was the rate of inflation

NOTE :
1. Efisiensi pareto (efisiensi parato) ini adalah situasi di mana tidak ada yang bisa dibuat
lebih baik tanpa membuat orang lain menjadi lebih buruk.
2. paris club itu adalah nama yang diberikan pada pengaturan dimana negara-negara
menjadwal ulang hutang resmi mereka yaitu uang yang dipinjam dari pemerintah lain
daripada bank atau perusahaan swasta.
3. hak paten (paten hak paten) pada tahun 1899, komisioner kantor paten Amerika
merekomendasikan agar kantornya dihapus karena segala sesuatu yang dapat
ditemukan telah ditemukan
4. Ketergantungan PATH (jalur ketergantungan) di jalur ekonomi bergantung pada cara
kejadian dan pilihan yang tidak signifikan dapat memiliki konsekuensi besar bagi
perkembangan pasar atau ekonomi.
5. harga puncak (harga puncak) adalah saat kapasitas pixed dan permintaan bervariasi
selama periode waktu mungkin masuk akal untuk mengenakan harga di atas rata-rata
saat puncak permintaan
6. Poin persentase (persentasi poin) itu adalah pasar yang paling kompetitif yang bisa
dibayangkan, persaingan sempurna jarang dan bahkan mungkin tidak ada, sangat
kompetitif sehingga setiap pembeli atau penjual individual memiliki dampak yang tidak
berarti terhadap harga pasar.
7. persentil (persentil) adalah keluarga 'ile' yang menandai posisinya pada skala angka.
Persentase pada mengatakan distribusi pendapatan adalah satu% terkaya dari populas
8. Kompetisi yang sempurna (kompetisi sempurna) ini adalah kompetisi persaingan yang
paling kompetitif yang bisa dibayangkan sangat jarang dan bahkan mungkin tidak ada.
Produk homogeiformation itu sempurna
Saya. Hipotesis pendapatan PERMANEN atas kehidupan mereka orang mencoba
untuk menyebarkan pengeluaran mereka lebih merata daripada pendapatan mereka,
hipotesis pendapatan permanen yang dikembangkan oleh milton fried man
9. kurva Phillips pada tahun 1958 seorang ekonom dari Selandia Baru A.W.H philips
(1914-75) mengusulkan bahwa ada trade off antara inflasi dan pengangguran sehingga
tingkat pengangguran semakin rendah, tingkat inflasi yang lebih tinggi

R. PRECAUTIONARY MOTIVE

it is to keep some money handy, just in case, one off three motives for holding money
identified by keynes, along with the transactional motive (having the cash to pay for
planeed purchases) and the speculative motive (you think asset prices are going to fall,
so you sell your assets for cash)
S. PREDATORY PRICING

Charging low prices now so you can charge much higher prices later. The predator
charges so little that in may sustain losses over a period of time, in the hope that its
rivals will be driven out off business. Clearly, this strategy makes sense only if the
predatory firm is able eventually to estabilish a monopoly
Examle:
One of the predatory pricing cases is what happened between William Inglis & Son Co.
vs. ITT Continetal Baking Co. The case was filed by Inglis arguing that Continental was
trying to eliminate competition by selling off the loss of bread with its private label under
the average non-fixed cost, causing Inglis to bankrupt. Instead Continental postulated
that he was just doing a tight competition.

T. PREFERENCE

It is what comsumers want.

U. PRICE

In enquilibrium, what balances supply and dmand. The price charget for something
dependens on the tastes, income and elasticity of demand of customers. It dependens
on the amount of competition in the market

V. PRICE DISCRIMINATION

It is when a firm charges different customers diffrent prices for the same product.
Example:
PT Pertamina sets a higher price for kerosene for the industrial sector than the
household sector. Basic electricity tariffs per KwH are set lower by PLN for households
that consume less electricity than households that consume more electricity. The long-
distance call rates set by PT Telkom are lower at night than during the day. Surgeons
charge higher rates for appendectomy surgery for high-income patients admitted to VIP-
class rooms, than low-income patients admitted to class III rooms.

W. PRICE ELASTICITY

This is a meansure of the responsiveness of demand to a change in price.

X. PRICE MECHANISM

It is the process by which markets set prices

Y. PRICE REGULATION

It is a situation when prices of, say, a public utility are regulated, giving producer an
incentive to maximise their profits by reducing their costs as much as posssible. Contrast
with rate of return regulation.
Z. PRICE/EARNINGS RATIO

It is a crude method of judging ewheter shares are cheap or expensive ; the ratio of the
market price of a share to compan’s earnigs (profit) per share.

AA. PRISIONERS’ DILEMMA

This is a favourite examle in game theory, which shows why coopration is difficult to
achieve even when it is mutually beneficial.

BB. PRIVATE EQUITY

It is when a firm’s shares are held privately and not tradesd in the public markets. Private
equity includes shares in both mature private compainies and, as vuture capital, in newly
started businesses.

CC. PRIVATISATION

It is selling state-owned businesses to private investors. This policy was asociated

initially with margaret theacher’s goverment in the 1980s, which privatised numerous
compainies, in cluding publich untulity businesses such as britsh telecom. Britsh gas,
and electricity and water compainies. During the 1990s, privatisation became a favorite
policy of goverments all over the world

DD. PROBABILITY

How likely something is to happen, usually expressed as the ratio of the number of ways
the outcome may occur to the number of total possible outcomes for the event.

A. PRODUCER SURPLUS

This is the diffrence between what a supplier is paid for a good or service and what it
cost to supply .

B. PRODUCTION FUNCTION

This is a mathematical way of describing the relation shift between the quantity of imputs
used by a firm and the quantityof output it produces with them.

C. PRODUCTIVITY

It is the relationship betwen imputs and output , whic can be applied to individual factors
of production or colectively

D. PROFIT
 It is the main reason firms exist, in economic theory profit is the reward for risk taken by
enterprise, the fourth of the factors of production, why is left after all other costs,
including rent, wages and interest. Put simply, profit is a firm’s total revanue minus total
cost.

E. PROFIT MARGIN
It is a firm’s profit expressed as a percentage of its turnover of sales.

Note : Profit margin itu merupakan indikator yang manampilkan pendapatan sebuah
perusahaan.

F. PROFIT MAXIMIZATION
This is the presumed goal of firm. In practice, business people often trade off making as
much profit as possible against other goal, such as building business empire, being
popular with staff and enjoying staff.
In econominc, profit maximisatioan it the short run or long run prosess by which a firm
determines the price and output level that returns the greatest profit. There are several
approachesto this problem.

Note : Proses yang dilakukan perusahaan untuk menentukan harga dan level output
yang memberikan profit yang paling besar.

G. PROGRESSIVE TAXATION
is a tax in which the tax rate increases as the taxable amount increases. The term
"progressive" refers to the way the tax rate progresses from low to high, with the result
that a taxpayer's average tax rate is less than the person's marginal tax rate. The term
can be applied to individual taxes or to a tax system as a whole; a year, multi-year, or
lifetime.

Note : adalah pajak di mana tingkat pajak meningkat saat jumlah kena pajak meningkat.
Istilah "progresif" mengacu pada cara tingkat pajak meningkat dari rendah ke tinggi,
sehingga tingkat pajak rata-rata wajib pajak kurang dari tarif pajak marjinal orang
tersebut. Istilah ini dapat diterapkan pada pajak individu atau sistem perpajakan secara
keseluruhan; satu tahun, multi tahun, atau seumur hidup.

H. PROPENSITY
Economic abounds with propesinties to do various things : consume, save, invest, import
and so on.

Note : Dalam ekonomi memiliki arti kecenderungan untuk melakukan berbagai hal:
mengkonsumsi, menyimpan, berinvestasi, mengimpor dan sebagainya.

I. PROPERTY RIGHTS
Property rights are essential to any market. To trade, it is essential to know that the
person selling a good or service owns it and that ownership will pass to the buyer.
 Note : Hak kepemilikan sangat penting bagi pasar manapun. Untuk berdagang, penting
untuk mengetahui bahwa orang yang menjual barang atau jasa memilikinya dan
kepemilikan itu akan diberikan kepada pembeli.

J. PROSPECT THEORY
Prospect theory hold that there are recurring biases driven by psychological factors that
influence people’s choices under uncertainty. The theory is based on the experimental
work or two psycologists, Daniel Kahneman (who won a nobel prize for economic for it)
an Amos Tversky (1937-96). It is an important component of behavioural economics.

Note : Teori prospek berpendapat bahwa ada bias berulang yang didorong oleh faktor
psikologis yang mempengaruhi pilihan orang di bawah ketidakpastian. Teori ini
didasarkan pada karya eksperimental atau dua ahli psikologi, Daniel Kahneman (yang
memenangkan hadiah nobel untuk ekonomi untuk itu) seorang Amos Tversky (1937-96).
Ini adalah komponen penting dalam ekonomi perilaku.

K. PROTECTIONISM
Protectionism is the economic condition of a country that implements the protection of
domestic industry and trade from the attacks of foreign products.

Note : Proteksionisme adalah kondisi ekonomi suatu negara yang menerapkan

perlindungan industri dalam negeri dan perdagangan dari serangan produk asing.

L. PUBLIC GOODS
a public good is a good that is both non-excludable and non-rivalrous in that individuals
cannot be effectively excluded from use and where use by one individual does not
reduce availability to others.
Ex : Include fresh air, knowledge, official statistics, national security, common
language(s), flood control systems, lighthouses, and street lighting.

Note :Public goods adalah barang yang apabila dikonsumsi oleh individu tertentu tidak
akan mengurangi konsumsi orang lain akan barang tersebut.

M. PUBLIC SPENDING
is expenditure incurred by the "public sector" in the course of its activities

Note : adalah pengeluaran yang dikeluarkan oleh "sektor publik" dalam kegiatannya

N. PUBLIC UTILITY
is the expenditure incurred by the "public sector" in its activities

Note : adalah pengeluaran yang dikeluarkan oleh "sektor publik" dalam kegiatannya

O. PUBLIC PRIVATE
 is a cooperative arrangement between two or more public and private sectors, typically
of a long-term nature. Governments have used such a mix of public and private
endeavors throughout history

Note :
Sebuah pengaturan kerjasama antara dua atau lebih sektor publik dan swasta, biasanya
bersifat jangka panjang. Pemerintah telah menggunakan campuran masyarakat seperti
itu Sebuah pengaturan kerjasama antara dua atau lebih sektor publik dan swasta,
biasanya jangka panjang.d usaha pribadi sepanjang sejarah

P. PURCHASING POWER PARITY

The balance of spending ability, sometimes also called purchasing power parity (English:
purchasing power parity - PPP) in economics is the method used to calculate
alternatives from two countries.

Note : Keseimbangan kemampuan belanja, kadang-kadang juga disebut paritas daya

beli (bahasa inggris: paritas daya beli beli - PPP) dalam ilmu ekonomi adalah metode
yang digunakan untuk menghitung alternatif dari dua negara.

A. QUANTITY THEORY OF MONEY

Quantity Theory Money is the economic theory of demand for money. Quantity theory is
very old but still adequate with the current state. The quantity theory of money discusses
the main causes of changes in the value of money or the price level.

Note : Teori Kuantitas (Quantity Theory) uang adalah teori ekonomi mengenai
permintaan uang (demand for money). Teori kuantitas tergolong sangat tua namun
masih memadai dengan keadaan saat ini. Teori kuantitas uang membahas penyebab
utama terjadinya perubahan nilai uang atau tingkat harga.

B. QUARTILE
are the values that divide the data in 4 equal parts, or each part of the quartile by 25%.
Quartile there are 3, the first quartile, second, and third. As for how to look for it is almost
the same as how to find the median, the difference is in the location of the quartile

Note : adalah nilai-nilai yang membagi data dalam 4 bagian yang sama, atau setiap
bagian dari kuartil sebesar 25%. Quartile itu ada 3, yaitu quartile pertama, kedua, dan
ketiga. Adapun cara mencarinya hampir sama dengan cara mencari median,
perbedaanya pada letak quartile

C. QUEUEING
Queueing theory is generally considered a branch of operations research because the
results are often used when making business decisions about the resources needed to
provide a service

Note : Teori antrian umumnya dianggap sebagai cabang penelitian operasi karena
hasilnya sering digunakan saat membuat keputusan bisnis mengenai sumber daya yang
dibutuhkan untuk memberikan layanan
D. QUOTA
is the set value limit for managing access to system and network resources or the
amount of storage used by a particular User or Group. Disk quota can be applied per
user or per group

Note : dalah nilai batas yang ditetapkan untuk mengelola akses ke sumber daya sistem
dan jaringan atau jumlah penyimpanan yang digunakan oleh User atau Group tertentu.
Disk quota bisa diterapakan per user atau per group

E. R SQUARED
R-squared is a statistical measure of how close the data are to the fitted regression line

Note :R-kuadrat adalah ukuran statistik dari seberapa dekat data dengan garis regresi
yang sesuai.
F. RANDOM WALK
Random Walk Theory in Stock Market. Investors have many options. One of them,
investors can be paid and mengempitnya in the long run

Note : Teori Random Walk di Pasar Saham. Investor memiliki banyak pilihan. Salah
satunya, investor bisa di bayar dan mengempitnya dalam jangka panjang

G. RATE OF RETURN
adalah tingkat pengembalian atau tingkat bunga yang diterima investor atas investasi
yang tidak diamortisasikan

Note : adalah tingkat pengembalian atau tingkat bunga yang diterima investor atas
investasi yang tidak diamortisasikan

H. RATE OF RETURN REGULATION

Rate-of-return regulation is a system for setting the prices charged by government-
regulated monopolies. The main premise is that monopolies will be compelled to charge
the same price that would ideally prevail in a perfectly competitive market, which is equal
to the efficient costs of production plus a market-determined rate of return on capital.

For Example : Rate-of-return regulation was dominant in the United States for a number
of years in the government regulation of utility companies and other natural monopolies.
Were these firms to remain unregulated, they could easily charge far higher rates, given
that consumers would pay any price for goods such as electricity or water.

I. Ratings
it is a guide to the riskiness of a financial instrument provided by a ratings agency, such
as moody's standard and poor's and fitch IBCA
For Example : On August 13, 2014, for example, IHSG on the IDX recorded the highest
level at the level of 5,168,269. The stock market capital value until the end of July 2014
 penetrated Rp 5.053 trillion. This makes Indonesia sit in the third rank of capital market
growth and market capitalization of Asia.
J. Rational expectations
Theory assumes that, over time, unexpected events (shocks) will cancel out each other
and that on average people's expectations about the future will be accurate.
For Example :
To make monetary improvements to increase aggregate demand, an inflation rate is
expected to arise. At that time it is enacted, economic actors will act to protect their
interests
K. Rationing
Rationing is an alternative to allowing prices to determine how scarce resources, goods
and services are distributed. . non-price allotment is often used when distribution
decides market forces are considered unfair. rationing can lead to the creation of a black
market, because people sell their rations to those who are willing to pay a high price
L. Recession
Broadly speaking, it is a period of slow or negative economic growth, usually
accompanied by rising unemployment. Resesi dapat mengakibatkan penurunan secara
simultan pada seluruh aktivitas ekonomi seperti lapangan kerja, investasi, dan
keuntungan perusahaan.
M. Reciproity
In international relations, the principle of reciprocity or reciprocity is reciprocity, that is,
there is mutual and mutually beneficial relationships between countries that make
relationships.

For example : if a head of state visits a country, then one day the head of state visited
must make a return visit.

N. Redlining
This means not leading to people in certain poor or troubled neightbourhoods - drawn
with a red line on a map – simply because they live there, regardlessof their credit –
worthiness judged by other criteria.

O. Reflation
This means policies to pump up demand and thus boost the level of economic activity.
monetarists fear that such policies may simply result in higher inflation.

P. Regional Policy
 This is a policy intended to increase economic activity in a particular geographic area
that is not a whole country and, usually, is in poor economic condition rather than
nearest areas

Q. Regression Analysis

Regression analysis is a simple method for investigating functional relationships among

variables. Regression analysis begins by performing a formulation for a problem,
including down the question into an analysis.

R. Regressive Tax
Regressive tax rate or. Which percentage will be smaller or decrease when the amount
of goods to be hired the greater or PFM (taxable income).

Examples are customs. This is true to get more.

S. Regulation
This means rules governing the activities of private - sector enterprises. regulation is
often imposed by government, either directly or through an appointed regulator.
however, some industries and professions impose rules on their members through self-
regulation.

T. Regulatory Arbitrage

Is an arbitration in which an institution takes advantage of the difference between a real

risk or risk with the existing regulatory position.

For example : a Basel I Basel-based bank in which a bank must hold 8% of capital in
order to overcome credit risk, but whose risk of default is very low it is advantageous for
it to be securitized so that low maturity is removed from bank portfolio. On the other
hand, the size of the risk is greater than the regulations governed by existing regulations
will benefit the bill in the bank portfolio.

U. Regulatory Capture

Regulatory capture is a form of government failure that occurs when a regulatory

agency, created to act in the public interest, instead advances the commercial or political
concerns of special interest groups that dominate the industry or sector it is charged with
regulating.[1] When regulatory capture occurs, the interests of firms or political groups
are prioritized over the interests of the public, leading to a net loss to society as a whole.
Government agencies suffering regulatory capture are called "captured agencies".

V. Regulatory Failure
 It is when regulation generates more economic cost than benefit.

W. Regulatory Risk
Regulatory risk is the risk that a change in laws and regulations will materially impact a
security, business, sector or market. A change in laws or regulations made by the
government or a regulatory body can increase the costs of operating a business, reduce
the attractiveness of investment and/or change the competitive landscape.
For example, utilities face a significant amount of regulation in the way they operate,
including the quality of infrastructure and the amount that can be charged to customers.
For this reason, these companies face regulatory risk that can arise from events - such
as a change in the fees they can charge - that may make operating the business more
difficult.

X. Relative Income Hypothesis

James Dusenberry argues that the current consumption of a society is determined by

the highest income ever achieved.
For Example : Consumption spending is reversible. example, if a person's income
increases, then consumption automatically also kanaikan with certain proportions, etc. if
income decreases, it will also be followed by decreased consumption.
Y. Rent
Is a measure of market power the difference between what a factor of production is paid
and how much it would need to be paid to remain in its current use.
For Example : a soccer star may be paid $50,00 a week to play for his team when he
would be willing to turn out for only $10,000, so his economic rent is $40,00 a week .
Z. RENT-SEEKING

This means cutting yourself a bigger slice of the cake rather than making the cake
bigger.

AA. REPLACEMENT COST

A replacement cost is the cost to replace an asset of a company at the same or equal
value, and the asset to be replaced could be a building, investment securities, accounts
receivable or liens. The replacement cost can change, depending on changes in market
value of the asset and any other costs required to prepare the asset for use.

Biaya pengganti adalah biaya untuk mengganti aset perusahaan dengan nilai sama atau
setara, dan aset yang akan diganti dapat berupa bangunan, sekuritas investasi, piutang
dagang atau hak gadai. Biaya penggantian dapat berubah, tergantung pada perubahan
 nilai pasar daripada aset dan biaya lainnya yang diperlukan untuk menyiapkan aset agar
dapat digunakan.
Example :
- A manufacturer, budgets for equipment and machine replacement, and a retailer
budgets to update the look of each store.

- Sebagai produsen, anggaran untuk penggantian peralatan dan mesin, dan anggaran
pengecer untuk memperbarui tampilan setiap toko.

BB. REPLACEMENT RATE

It is a total fertility rate (TFR) that (if sustained) leads to each new generation being less
populous than the older, previous one in a given area or the fertility rate required in a
country to keep its population steady.
Ini adalah tingkat kesuburan total (TFR) yang (jika dipertahankan) menyebabkan setiap
generasi baru menjadi kurang padat dari yang sebelumnya, yang sebelumnya berada di
area tertentu atau berarti tingkat kesuburan yang dibutuhkan di suatu negara untuk
menjaga populasi tetap stabil.

Example :
- The fact that more people are going to colleges and universities, have contributed
greatly to postponing marriage in many cases, and bearing children at all, or fewer
numbers of children.
- The growth of wealth and human development are related to sub-replacement fertility.
Although a sudden drop in living conditions, such as the great depression, can also
lower fertility like Large numbers of people lost their jobs, and massive unemployment,
lack of jobs outside the big cities, and economic uncertainty discourages people from
having children.

- Kenyataan bahwa lebih banyak orang pergi ke perguruan tinggi dan universitas, telah
berkontribusi besar dalam menunda pernikahan dalam banyak kasus, dan melahirkan
anak sama sekali, atau lebih sedikit jumlah anak-anak.
- Pertumbuhan kekayaan dan perkembangan manusia terkait dengan substitusi
kesuburan. Meskipun tiba-tiba turunnya kondisi kehidupan, seperti depresi berat, juga
dapat menurunkan kesuburan seperti banyak orang kehilangan pekerjaan mereka, dan
pengangguran besar-besaran, kurangnya pekerjaan di luar kota-kota besar, dan
ketidakpastian ekonomi membuat orang enggan memiliki anak.

A. REPO
Repo can be defined as an agreement in which one party sells securities or other assets
to a another party, and simultaneously commits to repurchase the same or similar assets
from the counterparty, at an agreed future date or on demand, at a repurchase price
 equal to the original sale price plus a return on the use of the sale proceeds during the
term of the repo

Repo dapat didefinisikan sebagai kesepakatan dimana satu pihak menjual sekuritas
atau aset lainnya ke pihak lain, dan secara bersamaan melakukan untuk membeli
kembali aset yang sama atau serupa dari pihak lawan, pada tanggal yang disepakati di
masa depan atau sesuai permintaan, dengan harga pembelian kembali sama dengan
harga jual asli ditambah pengembalian penggunaan hasil penjualan selama jangka
waktu repo.

Example :
- central bank deal in short term repose to provide liquidity to the financial system, buying
securities from banks with cash on the condition that the banks will repurchase them a
few weeks later

- Kesepakatan bank sentral dalam jangka pendek untuk memberikan likuiditas pada
sistem keuangan, membeli sekuritas dari bank dengan uang tunai dengan syarat bahwa
bank akan membeli kembali mereka beberapa minggu kemudian

B. REQUIRED RETURN

The amount of return that a project or investment is required to have before the
company agrees to budget the money or investors agree to make the investment. If the
expected return doesn’t exceed the required rate of return the project or investment
won’t be made. Companies do a required rate of return analysis before deciding to fund
a new joint venture or to purchase a piece of equipment. The analysis examines what
the expected increase in revenue will be and factors in increased costs as well as the
interest that will be paid to borrow the money, if applicable.

Jumlah pengembalian yang dibutuhkan proyek atau investasi sebelum perusahaan

setuju untuk menganggarkan uang atau investor setuju untuk melakukan investasi. Jika
pengembalian yang diharapkan tidak melebihi tingkat pengembalian yang diminta maka
proyek atau investasi tidak akan dilakukan. Perusahaan melakukan tingkat
pengembalian analisis yang diperlukan sebelum memutuskan untuk mendanai
perusahaan patungan baru atau membeli peralatan. Analisis ini mengkaji kenaikan
pendapatan yang diharapkan dan faktor kenaikan biaya serta bunga yang akan
dibayarkan untuk meminjam uang, jika ada.

Example :
- An investor who can earn 10 per cent every year by investing in US Bonds, would set a
required rate of return of 12 per cent for a riskier investment before considering it.

- seorang investor yang bisa memperoleh 10 persen setiap tahun dengan berinvestasi di
obligasi AS, akan menetapkan tingkat pengembalian yang diminta sebesar 12 persen
untuk investasi berisiko sebelum mempertimbangkannya.
C. RESCHEDULING

It is changing the payment schedule for a debt by agreement between borrower and
lender. This is usually done when the borrower is struggling to make payment under the
original schedule. Rescheduling can involve reducing interest payment but extending the
period over which they are collected; putting back the date of repayment of the loan;
reducing interest payment but increasing the amount that has to be repair eventually;
and so on.

Maksudnya adalah mengubah jadwal pembayaran hutang dengan kesepakatan antara

peminjam dan pemberi pinjaman. Hal ini biasanya dilakukan saat peminjam sedang
berusaha untuk melakukan pembayaran sesuai jadwal semula. Penjadwalan ulang
dapat melibatkan pengurangan pembayaran bunga namun memperpanjang periode
pengumpulannya; mengembalikan tanggal pelunasan pinjaman; mengurangi
pembayaran bunga tapi meningkatkan jumlah yang harus diperbaiki akhirnya; dan
seterusnya.

D. RESERVATION WAGE
Reservation Wage is the lowest wage rate at which a worker would be willing to accept a
particular type of job. A job offer involving the same type of work and the same working
condition, but at the lower wage rate, would be rejected by the worker. An individual's
reservation wage may change over time depending on a number of factor, like changes
in the individual's overall wealth, changes in marital status or living arrangements, length
of unemployment, and health and disability issues

Reservation Wage adalah tingkat upah terendah dimana seorang pekerja bersedia
menerima jenis pekerjaan tertentu. Tawaran pekerjaan yang melibatkan jenis pekerjaan
dan kondisi kerja yang sama, namun pada tingkat upah yang lebih rendah, akan ditolak
oleh pekerja tersebut. Reservation wage individu dapat berubah seiring waktu
tergantung pada sejumlah faktor, seperti perubahan kekayaan keseluruhan individu,
perubahan status perkawinan atau pengaturan tempat tinggal, lama pengangguran, dan
masalah kesehatan dan kecacatan.

Example :
- If you were looking for a job as a supermarket packer and your reservation wage was Rp
13.000 per hour, it would mean that any packer’s position paying less than Rp 13.000
per hour would be rejected by you.

- Jika Anda mencari pekerjaan sebagai suporter supermarket dan upah pemesanan Anda
adalah $ 8 per jam, itu berarti bahwa setiap posisi pengepakan yang membayar kurang
dari $ 8 per jam akan ditolak oleh Anda.
E. RESERVE CURRENCY

A reserve currency (or anchor currency) is a currency that is held in significant quantities
by governments and institutions as part of their foreign exchange reserves. The reserve
currency is commonly used in international transactions, international investments and
all aspects of the global economy. the United States dollar is considered the world's
most dominant reserve currency.

Reserve currency (atau anchor currency) adalah mata uang yang dimiliki dalam jumlah
signifikan oleh pemerintah dan institusi sebagai bagian dari cadangan devisa mereka.
Mata uang cadangan biasanya digunakan dalam transaksi internasional, investasi
internasional dan semua aspek ekonomi global. Dolar amerika serikat dianggap sebagai
mata uang cadangan paling dominan di dunia.

Example :
- By the end of the 20th century, the United States dollar was considered the world's most
dominant reserve currency. The world's need for dollars has allowed the United States
government as well as Americans to borrow at lower costs, granting them an advantage
in excess of $100 billion per year.

- Pada akhir abad ke-20, dolar Amerika Serikat dianggap sebagai mata uang cadangan
paling dominan di dunia. Kebutuhan dunia akan dolar telah memungkinkan pemerintah
Amerika Serikat dan Amerika untuk meminjam dengan biaya lebih rendah, memberi
mereka keuntungan melebihi $ 100 miliar per tahun.

F. RESERVE RATIO

Also known as Cash Reserve Ratio, it is the percentage of deposits which commercial
banks are required to keep as cash according to the directions of the central bank. The
reserve ratio is an important tool of the monetary policy of an economy and plays an
essential role in regulating the money supply. When the central bank wants to increase
money supply in the economy, it lowers the reserve ratio. As a result, commercial banks
have higher funds to disburse as loans, thereby increasing the money supply in an
economy.

Juga dikenal dengan Cash Reserve Ratio, persentase simpanan yang diminta bank
umum untuk menyimpan uang tunai sesuai dengan petunjuk bank sentral. Rasio
cadangan merupakan alat penting kebijakan moneter suatu ekonomi dan memainkan
peran penting dalam mengatur jumlah uang beredar. Ketika bank sentral ingin
meningkatkan jumlah uang beredar dalam perekonomian, ia menurunkan rasio
 cadangan. Akibatnya, bank komersial memiliki dana yang lebih tinggi untuk mencairkan
pinjaman, sehingga meningkatkan jumlah uang beredar dalam perekonomian.

Example :
- If the Federal Reserve, determined the reserve ratio to be 11%, this means all banks
must have 11% of their depositors' money on reserve in the bank. So, if a bank has
deposits of $1 billion, it is required to have $110 million on reserve.

- Jika Federal Reserve, menentukan rasio cadangan menjadi 11%, ini berarti semua bank
harus memiliki 11% uang deposan mereka untuk cadangan di bank. Jadi, jika bank
memiliki simpanan sebesar $ 1 miliar, maka dibutuhkan cadangan sebesar $ 110 juta.

G. . RESERVE REQUIREMENT

The reserve requirement (or cash reserve ratio) is a central bank regulation employed by
most, but not all, of the world's central banks, that sets the minimum amount of reserves
that must be held by a commercial bank. The minimum reserve is generally determined
by the central bank to be no less than a specified percentage of the amount of deposit
liabilities the commercial bank owes to its customers. The commercial bank's reserves
normally consist of cash owned by the bank and stored physically in the bank vault (vault
cash), plus the amount of the commercial bank's balance in that bank's account with the
central bank.

Persyaratan cadangan (atau rasio cadangan kas) adalah peraturan bank sentral yang
digunakan sebagian besar, namun tidak semua, dari bank sentral dunia, yang
menetapkan jumlah minimum cadangan yang harus dimiliki oleh bank umum. Cadangan
minimum umumnya ditentukan oleh bank sentral menjadi tidak kurang dari persentase
tertentu dari jumlah kewajiban deposito yang dimiliki oleh bank komersial kepada
pelanggannya. Cadangan bank komersial biasanya terdiri dari kas yang dimiliki bank
dan disimpan secara fisik di brankas bank (vault cash), ditambah dengan jumlah saldo
bank komersial di rekening bank tersebut dengan bank sentral.

Example :
- When the Fed lowers the reserve requirement from, say, 20% to 10%. Banks hold fewer
reserves and therefore loan out more money, which stimulates economic output.

- ketika Fed menurunkan persyaratan cadangan dari, katakanlah, 20% sampai 10%,
skenario sebaliknya terjadi. Bank memegang cadangan lebih sedikit dan karena itu
meminjamkan lebih banyak uang, yang merangsang output ekonomi.

H. RESERVES

Reserves are money in the hand, available to be used to meet planed future payments
or if some other need arises. Firms may put their reserves in a bank, as a deposit.
 Cadangan adalah uang di tangan, tersedia untuk digunakan untuk memenuhi
pembayaran masa depan yang direncanakan atau jika ada kebutuhan lain yang muncul.
Perusahaan dapat menempatkan cadangan mereka di bank, sebagai deposit.

I. RESIDUAL RISK
The residual risk is the risk or danger of an action or an event, a method or a (technical)
process that, although being abreast with science, still conceives these dangers, even if
all theoretically possible safety measures would be applied (scientifically conceivable
measures); in other words, the amount of risk left over after natural or inherent risks
have been reduced by risk controls.

Risiko residual adalah risiko atau bahaya suatu tindakan atau peristiwa, metode atau
proses (teknis) yang, meskipun bersamaan dengan sains, masih mengandung bahaya
ini, bahkan jika semua tindakan keselamatan yang secara teoritis mungkin diterapkan
(ukuran yang dapat dibayangkan secara ilmiah); Dengan kata lain, jumlah risiko yang
tersisa setelah risiko alami atau inheren telah dikurangi oleh kontrol risiko.

Example :
- The company manufactures an item, which is in a race for time to reach the market first.
Two test cycles is required to get the green light for delivery. The risk response is to do
an in-house test rehearsal; thereby ensuring the option is open to user acceptance on
the first test. This way the product can have an early launch. Inherent risk is the gain
from the opportunity that is created to reach the market first.

- Perusahaan memproduksi barang, yang dalam perlombaan untuk meraih pasar terlebih
dahulu. Dua siklus uji diperlukan untuk mendapatkan lampu hijau untuk pengiriman.
Respon risikonya adalah melakukan latihan uji in-house; Dengan demikian memastikan
pilihan terbuka terhadap penerimaan pengguna pada tes pertama. Dengan cara ini
produk bisa melakukan peluncuran awal. Resiko yang melekat adalah keuntungan dari
kesempatan yang diciptakan untuk mencapai pasar terlebih dahulu.

J. RESTRICTIVE PRACTICE

It is a general term for anything done by a firm, or firm, to inhibit competition. Generally
against the law.

Ini adalah istilah umum untuk apa pun yang dilakukan oleh perusahaan, atau
perusahaan, untuk menghambat persaingan. Umumnya melawan hukum.

Example :

- Restricting the entry of new competitors into a specific market.

- A dominant company dramatically lowers its prices – to below the cost of production – in
order to destroy its smaller competitors.

- Membatasi masuknya pesaing baru ke pasar tertentu.

- Sebuah perusahaan yang dominan secara dramatis menurunkan harganya - di bawah
biaya produksi - untuk menghancurkan pesaingnya yang lebih kecil.

K. RETURNS

Returns is the profit or loss you have on your investments, including income and change
in value. Return can be expressed as a percentage and is calculated by adding the
income and the change in value and then dividing by the initial principal or investment
amount.

Returns adalah keuntungan atau kerugian yang Anda miliki atas investasi Anda,
termasuk pendapatan dan perubahan nilai. Pengembalian dapat dinyatakan sebagai
persentase dan dihitung dengan menambahkan pendapatan dan perubahan nilai dan
kemudian membagi dengan jumlah pokok atau investasi awal.

Example :
- If an investor pays $100,000 for real estate and then sells it for $110,000, the return is
calculated by taking the difference between $100,000 and $110,000, and then dividing
that number by the cost of the investment. The calculation is $10,000 divided by
$100,000, or 10%.

- Jika seorang investor membayar $ 100.000 untuk real estat dan kemudian menjualnya
seharga $ 110.000, pengembalian dihitung dengan mengambil selisih antara $ 100.000
dan $ 110.000, dan kemudian membagi jumlah tersebut dengan biaya investasi.
Perhitungannya adalah $ 10.000 dibagi dengan $ 100.000, atau 10%.

L. REVEALED PREFERENCE

This is a theory of economics laid down by Paul Samuelson which aims at revealing the
preference of consumers by monitoring their purchasing habits.The theory basically
seeks to study consumer behaviour. Samuelson made a basic assumption that a
consumer, while making purchase decisions, evaluates a number of alternatives and
chooses the product which best satisfies his needs, given the budget constraint.

Ini adalah teori ekonomi yang ditetapkan oleh Paul Samuelson yang bertujuan untuk
mengungkapkan preferensi konsumen dengan memantau kebiasaan pembelian mereka.
Teori pada dasarnya bertujuan untuk mempelajari perilaku konsumen. Samuelson
membuat asumsi dasar bahwa konsumen, saat membuat keputusan pembelian,
mengevaluasi sejumlah alternatif dan memilih produk yang paling sesuai dengan
kebutuhannya, mengingat batasan anggaran.
 Example :
- As a concrete example, if a person chooses 2 apples/3 bananas over an affordable
alternative 3 apples/2 bananas, then we say that the first bundle is revealed preferred to
the second. It is assumed that the first bundle of goods is always preferred to the
second, and that the consumer purchases the second bundle of goods only if the first
bundle becomes unaffordable.

- Sebagai contoh nyata, jika seseorang memilih 2 buah apel / 3 pisang dengan harga
yang terjangkau, cobalah 3 buah apel / 2 pisang, lalu katakan bahwa bungkusan
pertama ternyata lebih disukai dari pada yang kedua. Diasumsikan bahwa kumpulan
barang pertama selalu disukai untuk yang kedua, dan bahwa konsumen membeli bundel
barang kedua hanya jika bundel pertama menjadi tidak terjangkau.

M. RICARDIAN EQUIVALENCE

This theory was developed by David Ricardo in the 19th century but was revised by
Harvard professor Robert Barro into a more elaborate version of the same concept, that
government deficits do not affect the overall level of demand in an economy. this is
because taxpayers know that any deficit has to be repair later, and so increase their
savings in anticipation of a tax bill. thus government attempts to stimulate an economy
by increasing public spending and / or cutting taxes will be rendered importent by the
private-sector reaction.

Teori ini dikembangkan oleh David Ricardo di abad ke-19 namun direvisi oleh profesor
Harvard Robert Barro ke versi yang lebih rumit dari konsep yang sama. bahwa defisit
pemerintah tidak mempengaruhi keseluruhan tingkat permintaan dalam suatu
perekonomian. Hal ini karena wajib pajak mengetahui bahwa setiap defisit harus
diperbaiki nantinya, dan dengan demikian meningkatkan tabungan mereka untuk
mengantisipasi tagihan pajak. Dengan demikian, upaya pemerintah untuk merangsang
ekonomi dengan meningkatkan pengeluaran publik dan / atau pemotongan pajak akan
dianggap penting oleh reaksi sektor swasta.

Example :
- Logic follows that if the Ricardian equivalence is true, then countries with high levels of
debt should also have comparatively higher levels of household savings. When looking
at government debt to GDP in relation to household net financial assets to GDP for
countries within the European Union (EU) during the 2008 financial crisis, there is
evidence to support the validity of the Ricardian equivalence. Based on data from 2007,
there is a strong correlation between government debt burdens and net financial assets
accumulated for 12 of the 15 countries within the union.

- Logika mengikuti bahwa jika kesetaraan Ricardian benar, maka negara-negara dengan
tingkat hutang yang tinggi juga harus memiliki tingkat tabungan rumah tangga yang
relatif lebih tinggi. Ketika melihat utang pemerintah terhadap PDB dalam kaitannya
dengan aset keuangan bersih rumah tangga terhadap PDB untuk negara-negara di
dalam Uni Eropa (UE) selama krisis keuangan tahun 2008, ada bukti untuk mendukung
keabsahan kesetaraan Ricardian. Berdasarkan data tahun 2007, ada korelasi kuat
antara beban utang pemerintah dan aset keuangan bersih yang terakumulasi untuk 12
dari 15 negara di dalam serikat pekerja.