V’s

Welcome to the SwiftEconomics.com Glossary! Each word will come to life using witty jokes, satire, and colorful examples. The glossary is meant to amuse and educate; not to be traditional or academic. The SwiftEconomics.com team wants to hammer home a few vital ideas throughout the vocabulary lesson. For example, keep an eye on asymmetric information’s effect on health insurance. Please share the SwiftEconomics.com Glossary with colleagues, friends, and family!

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Velocity of Circulation

A long-winded indie rock band name (VoC). Actually no but it’s a gift to anyone who wants to use it.

Physics tells us velocity is speed with direction. The thing that’s circulating here is money; how quickly it changes hands and redirects through an economy in a butterfly effect is VoC.


Venture Capital

Capital to fund entrepreneurial projects in the private sector. Also called adventure capital, venture capitalists often require equity stakes in the new enterprise for the loan. Hefty rates of return are usually required for most new businesses fail.


Vertical Equity

The idea that the wealthiest members of society should pay more taxes. Most Western economies consider this a matter of fairness in the tax code. If you listen closely members of high society are cuing stringed orchestras now.


Volatility

Steady assets are predictable but assets whose prices bounce around like a beach volleyball are difficult to time. This means risk for an investor and a need for a greater return on investment.


Voluntary Unemployment

Cross-section of society that chooses not to work even though vacant jobs are available. These people are not included in unemployment statistics.

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