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<strong>CL</strong> – CommonLine, the FFEL Program industry' s standards by which loan and borrower information is electronically gathered, stored, and transmitted via a flat file. CommonLine file specifications are agreed to by the industry' s Electronic Standards Committee (ESC) and may be retrieved from the NCHELP e-library at
www.nchelp.org.
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<strong>Escrow agent</strong> – A guarantor or other eligible entity that receives the proceeds of a FFEL Program loan as an agent of an eligible lender for the purpose of transmitting those proceeds to the school.
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coinage (E4)<br />Pieces of metal of a standard size and weight stamped by a sovereign power to give them the status of money. Coins were first used as money by the Lydians (Greek inhabitants of what is now West Turkey) in the seventh century BC. The first coins were made of electrum, a natural alloy of gold and silver. Silver, bronze and copper were later used in Ancient Greece and the Roman Empire. Copper coins, used for small transactions, were issued with a monetary value in excess of the value of metal used, establishing the principle of token money, which is the nature of coinage today. The first problems of coinage, clipping and forgery, were solved by a change in production method from hammering to milling to ensure a standard size. The second problem, the inconvenience of transporting it to carry out large financial transactions, was remedied by the use of banknotes.
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market economy (P1)<br />An economy with extensive private ownership of capital and with allocation of goods and services by the price mechanism in the absence of government intervention. The PHYSIOCRATS and CLASSICAL ECONOMISTS praised this form of economy; NEOCLASSICAL ECONOMISTS have analysed it in detail, e.g. by showing how a system of coMPETITIVE TRADING is used for the exchange of all commodities. For a market economy to flourish, goods must be available in competitive markets at prices which reflect their long-run scarcities and businesses must be motivated by profit.
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