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<strong>Capitalized interest</strong> – Accrued interest that is periodically added to a loan' s principal balance. 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. Lenders may capitalize any accrued interest on a quarterly basis or at other scheduled time frames.
<strong>PL</strong> – 1) Loan type within CommonLine file specifications for a parent PLUS loan (as opposed to a Graduate PLUS loan, which has a loan type of “GL” ). 2) Public Law. For example, the public law associated with the HERA is PL 109-171.
hyperinflation (E3)<br />A rise in product prices of more than 50 per cent per month. In extreme cases, prices can double in one day. The best known examples have been Germany in 1923, Hungary in 1946 and some Latin American countries in the 1980s. Germany's inflation rose from a mark valued in the summer of 1914 at 4.2 to the US dollar to 4,200,000,000,000 on 15 November 1923. This type of inflation forces people to abandon the use of money in favour of BARTER and INDEXATION. SAVING is discouraged and fixed income groups with little bargaining power, including the RENTIER class, suffer a massive fall in income. Governments, finding it difficult to collect taxes, often resort to increasing the money supply as a source of income in such circumstances.<br /><em>Reference</em><br />Siklos, R.K. (1990) War Finance, Hyperinflation and Stabilization in Hungary 1938-48, London and New York: Macmillan and St Martin's Press.
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