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Mun, Thomas, 1571-1641 (B3)<br />Director of the East India Company and leading MERCANTILIST whose formulation of economic theory in England's Treasure by Forraign Trade (first published posthumously in 1664) represented the finest flowering of late mercantilist ideas. To justify the export of silver bullion by the company, he extended the current idea of the balance of payments as being a particular balance between two countries to the concept of a general balance between one country and the rest of the world, permitting some individual balances to be in deficit. Adam SMITH's view of mercantilism was heavily influenced by Mun.<br /> <br /><em>Reference</em><br />Appleby, J.0. (1978) Economic Thought and Ideology in Seventeenth Century England, Princeton, NJ: Princeton University Press.

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with a lack of opportunity for, or restricted access to, paid employment.<br /><em>See also:</em> labour force

<strong>School-Based Software (SBS)</strong> – Software used by the school to certify loans and generate or load CommonLine files. SBS is often used by schools that do not have a FAMS or for which the FFEL Program module of their FAMS is not used.

Tax Freedom Day (H2)<br />The day in the year when people in effect stop working to pay taxes. This is deter-

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measure of economic welfare (D6)<br />GROSS NATIONAL PRODUCT adjusted by the subtraction of 'bads' (which include pollution and services such as law and order) and the addition of 'goods' (which include household activities such as do-it-yourself (DIY) work) which are not conventionally measured in NATIONAL INCOME accounting. Nordhaus and TOBIN introduced the term.

<strong>CBO</strong> – Congressional Budget Office.

is then expanded to take into account mergers and acquisitions. It is essentially an optimistic account that regards large DISECON OMIES OF SCALE as unlikely.<br /><em>See also:</em> managerial models of the firm <br /><em>Reference</em><br />Marris, R. (1964) The Economic Theory of Managerial Capitalism, London: Macmillan.<br /> Penrose, E.T. (1959) The Theory of the Growth of the Firm, Oxford: Basil Blackwell.

Rawlsian justice (D3)<br />1 A revival of social contract theory with general application to basic social and political institutions.<br /> 2 Anti-meritocratic EGALITARIANISM.<br /> 3 A non-utilitarian approach to justice.
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Box-jenkins (C1)<br />A methodological approach to the study of TIME SERIES which has improved shortterm economic forecasting by following the method of identification of economic relationships and then estimation of them and diagnostic checking.<br /><em>Reference</em><br />Box, G.E.P and Jenkins, G.M. (1970) Time Series Analysis: Forecasting and Control, San Francisco: Holden-Day.

<strong>HACU</strong> – Hispanic Association of Colleges and Universities.

new federalism (H7)<br />A view of the relationship between US federal and state governments announced by President Nixon in 1971 and revived by President Reagan in the 1980s, that there should be devolution of many federal activities to the states, including education and welfare programmes.<br /><em>See also:</em> dual federalism
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macroeconomics (EO)<br />The study of the relationship between economic aggregates, particularly national income, total consumption, investment and the money supply. Although ROBERTsoN in his A Study of the Trade Cycle in 1915 was perhaps the first economist to emphasize the importance of considering output in aggregate terms, the Keynesian revolution made this new approach a concern of economics; the associated advent of NATIONAL INCOME aCCOUnting provided data to measure the relationships. Since macroeconomics is used to analyse governments' economic policies, it 1s mevitably surrounded by controversy.<br /> <br /><em>Reference</em><br />Blanchard, 0.1. and Fischer, S. (1989) Lectures on Macroeconomics, Cambridge, MA, and London: MIT Press.<br /> Phelps, E.S. (1990) Seven Schools of Macroeconomic Thought, Oxford: Clarendon Press.

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<strong>Fixed rate</strong> – An interest rate that is fixed at the time the loan is obtained (as opposed to a variable rate, which may change at specific times or based on specific indicators). As of July 1, 2006, interest rates on FFEL Program loans are fixed, replacing the variable rate loans that existed prior to that date.
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<strong>Accrued interest</strong> – Each day interest is calculated on the unpaid principal balance of a loan and increases (accrues). Interest accrues on a subsidized Stafford Loan after the grace period is completed and the borrower enters repayment. For unsubsidized Stafford, parent PLUS, and Grad PLUS Loans, on the other hand, interest begins to accrue after the first disbursement of the loan.
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