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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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consumer durable (DO)<br />A consumer GOOD not immediately consumed but the producer of a stream of services over a period of years. Vehicles, electrical goods and other durable household articles are major examples. Unlike the services of houses, there is no inclusion of the benefits of consumer durable own-
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potential surprise function (EO) SHACKLE'S view of EXPECfATIONS that the degree of surprise caused to us by the non-occurrence of a given outcome, assuming there has been no change in our relevant knowledge, is a function of the values of a continuous variable. The function is y = y(x) where y is the degree of potential surprise and x is a continuous variable. Intensities of surprise lie between zero and the maximum intensity when what was believed impossible occurs. One of two hypotheses is more attractive if the potential surprise is nil and has a more desirable content than the other.<br /> <br /><em>Reference</em><br />Shackle, G.LS. (1949) Expectations in Economics, Cambridge: Cambridge University Press.

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comparable worth (J3)<br />The relative value of a worker's labour based on productivity rather than personal characteristics. A principle adopted in Australia in 1972 and introduced in three Cloth Wine 100 men 120 men 90 men 80 men uniform steps by June 1975 to counter ######UAL DISCRIMINATION.<br /><em>See also:</em> Equal Pay Acts 1963 and 1970 <br /><em>Reference</em><br />McGavin, PA. (1983) 'Equal pay for women: a reassessment of the Australian experience', Australian Economic Papers 22: 48- 59.
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<strong>Midwest Student Exchange Program (MSEP)</strong> – This program ensures reduced tuition rates to Missouri residents who enroll in designated academic programs at participating schools in Kansas, Michigan, Minnesota, Nebraska, North Dakota, and Wisconsin. (Residents of those states may enroll in designated academic programs at participating Missouri schools.) More information is available at: http://www.mhec.org/.
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<strong>Third-party servicer</strong> – In the case of a lender or guarantor, an entity that enters into a contract with a program participant to administer any aspect of its participation in a Title IV program.

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resource economics (Q2, Q3)<br />The economic analysis of environmental

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<strong>Electronic Funds Transfer (EFT)</strong> – The transfer of funds via an electronic method such as wire, which is realtime, or Automated Clearinghouse (ACH), an overnight process.

optimum tariff (Fl, F3)<br />1 The tariff that will maximize the economic welfare of a country. Providing it is a large economy and the elasticity of supply is less than infinite, through changing the TERMS OF TRADE by imposing a ta riff it is possible to have increased revenue from trade despite its lower volume.<br /> 2 A TARIFF that increases a country's welfare by maximizing the return to its potential MONOPOLY or MONOPSONY power. This ta riff must be set at that rate which equalizes the social benefit and social cost of the marginal import. Optimum ta riffs have been recommended for less developed countries with a substantial monopoly in their export trade. If the optimum tariff is zero, then there is a strong case for FREE TRADE. Corden refers to an 'orthodox optimum tariff' as an export tax which changes the TERMS OF TRADE as the tax rest ricts exports and raises their prices.<br /> <br /><em>Reference</em><br />Corden, W.M. (1974) Trade Policy and Economic Welfare, Oxford: Clarendon Press.
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<strong>Participation agreement</strong> – Agreement with the MDHE that permits a school to participate in the state student assistance programs.
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divestment (Ll)<br />The disposal of part of the assets of a firm; the opposite of a MERGER. An appraisal of the activities of a diversified firm often results in divestment as a means of rationalizing its interests.

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IS (E1, F1)<br />1 The equilibrium of investment and savings, usually expressed as one of the curves in the 1s LM diagram. An increase in government expenditure, through its MULTIPLIER effects, will cause the IS curve to shift outwards from the origin.<br /> 2 IMPORT SUBSTITUTION.
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<strong>Totally and permanently disabled</strong> – the condition of an individual who is unable to work and earn money due to an injury or illness that is expected to continue indefinitely or eventually result in death.
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Schultz, Theodore William, 1902- (B3) Leading US authority on HUMAN CAPITAL theory. Educated in agricultural economics at South Dakota State College and the University of Wisconsin. Since 1943, he has been professor at the University of Chicago. His NOBEL PRIZE FOR ECONOMICS, jointly awarded in 1980 with Arthur LEWIS, was for his work in agricultural economics. Although he published a major work on this topic, The Economic Organization of Agriculture (1953), his major contribution to mainstream economics has been in leading the modem human capital movement, especially with his The Economic Value of Education (1963) and Investment in Human Capital: The Role of Education and Research (1971).

job generation (J6)<br />The expansion of employment in either the public or private sector. In the former, regional and other policies are used to create jobs; in the latter, new jobs are preceded by an expansion in a market.
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