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economic paradigm (B4)<br />A major principle central to a school of economics as it provides a fundamental analytical tool of economic theorizing. MARGINAL!SM and NEOCLASSICAL ECONOMICS, for example, have been able to demonstrate the powerful applications of the marginal concept backed up by calculus. In periods when there has been great dissatisfaction with the state of economics, a cry for a new paradigm has often heard: in the 1930s the concepts of KEYNES in his

relative income hypothesis (E2) Duesenberry's theory of the coNSU MPTION FUNcrroN that consumption is a function of current income relative to income in preceding time periods and relative to the income of households which are regarded as models to follow. The theory was used to reconcile a conflict between time series and cross-section evidence.<br /><em>Reference</em><br />Duesenberry, J. (1949) Income, Saving and the Theory of Consumer Behavior, Cambridge, MA: Harvard University Press.
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<strong>Source, The</strong> – MDHE' s Guide to grants, scholarships, loans and more-Outlines all of the state student financial assistance programs. This publication and all publications published by the MDHE can be requested on the Publications Order Form: http://www.dhe.mo.gov/publicationsorderform.shtml.

<strong>R</strong> – Code used to request a “release” on a disbursement or to indicate a released status, as defined within CommonLine file specifications.

<strong>Financial Aid Management System (FAMS)</strong> – Software used by the school to administer all aspects and types of financial aid. FAMS products include Datatel' s product Colleague, PeopleSoft, SCT' s product Banner, the College Board' s product PowerFAIDS, and many others.

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escalator clause (M2)<br />A clause in a contract designed to revise payments due under that contract in line with changes in a specified price index. In times of considerable inflation, these clauses are popular in labour and building contracts, as well as in tax schedules and social security benefits tables.<br /><em>See also:</em> cost of living adjustment
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<strong>FAO</strong> – Financial Aid Officer, a staff member at an eligible school who administers financial aid programs.

<strong>Out of school date (OSD)</strong> – The date the student ceases to be enrolled at least half time. An OSD may also be referred to as the last date of attendance (LDA) or, if the student completed the program of study, the actual graduation date.

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Lipsey, Richard George, 1928- (B3) Canadian economist educated at the University of British Columbia, Toronto, and the London School of Economics, where he was later lecturer and professor from 1955 to 1964. He was professor at Es###### University from 1964 to 1970 and subsequently at Queen's University in Kingston, Ontario, from 1970 to 1985.<br /> He is famous to hundreds of thousands of students in the Western world for his textbooks: An Introduction to Positive Economics, first published in 1963, which is, as its name suggests, strongly empirical in tone and hence has been frequently revised; and Economics, which was first published in 1966 in the USA. He first made his mark as an economist with his joint article with Lancaster, 'The general theory of the second best' (Review of Economic Studies June 1956), which made a major contribution to welfare economics. Subsequently, in a series of articles on inflation, he provided the microeconomic explanations for the PHILLIPS cuRVE. His numerous other works include articles on CUSTOMS UNIONS, LOCATION THEORY and monetary theory.<br /><em>Reference</em><br />Lipsey, R.G. (1991) The Collected Essays of Richard G Lipsey, 3 vols, Aldershot: Edward Elgar.

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conditionality (F3)<br />Lending to a debtor on condition that the loan is used for a specific purpose so that there is less risk of default in servicing the loan. It is argued that the INTERNATIONAL MONETARY FUND and WORLD BANK in making this stipulation make 'conditionality' a PUBLIC GOOD.
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government broker (G1)<br />The stockbroker dealing in financial markets on behalf of a government. In London, the senior partner of Mullens & Co. participated in gilts for the Bank of England.

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

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<strong>MSEP</strong> – Midwest Student Exchange Program, which 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. For more information, see http://www.mhec.org/.
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<strong>Missouri task force</strong> – Former name for the MDHE' s State Student Financial Aid Committee, comprised of financial aid administrators and established in February of 2005 to make recommendations to improve the Missouri student financial assistance programs.

commodity (DO)<br />1 Something, usually physical, which can be bought and sold and is directly measurable. The concept is used extensively in both MARXIAN ECONOMICS and GENERAL EQUILIBRIUM analysis since HICKS. MARX argued that through the exchange process goods lose their use value, becoming 'citizens of the world' and merely the vehicle for merchants to earn SURPLUS VALUE. SRAFFA regarded a commodity as a good or service produced by a unique combination of factor inputs.<br /> 2 A raw material or primary product.
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David Hume Institute (HO)<br />An economic research institute founded in 1985 and now based in Edinburgh, Scotland, with Sir Alan Peacock as its first executive director. It has examined the economics of regulation, broadcasting, small firms and banking.

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activist (E6)<br />An economic policy adviser who believes in the use of discretionary monetary and fiscal instruments for fine-tuning the economy.

<strong>Termination</strong> – withdrawal of the eligibility of a school, lender, or servicer to participate in a guarantor' s programs.

<strong>Base year</strong> – For need analysis purposes, the calendar year preceeding the award year.
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<strong>NCLB</strong> – No Child Left Behind Act of 2001.

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<strong>Certification</strong> – The act of attesting that something is true or meets a certain standard. 1) Within the FFEL Program, the school certifies each borrower' s student loan, attesting to the fact that required eligibility criteria have been met, such as need. 2) Within the state student assistance programs administered by the MDHE, the school certifies each student' s eligibility and at the same time requests funds.
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trade threat (Fl)<br />A trade restriction designed to change non-trade policies of a government, e.g. concerning human rights or the cleanliness of the environment. A BOYCOTT is the most common form of threat.<br /><em>See also:</em> economic sanctions

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European Monetary Union (F3)<br />The integration of the monetary policies and currencies of member states under a new EUROPEAN CENTRAL BANK using a single currency. This union was envisaged by the WERNER REPORT and designed by the DEWRS PLAN which set out three stages towards integration. The first stage started in 1990 with the abolition of restrictions on capital movements in the EEC; the second stage amended the Treaty of Rome under the Maastricht Treaty 1992 to create the European Monetary Institute 1994 to provide for central bank co-operation and monetary policy co-ordination (the Institute was dissolved after the creation of the European Central Bank 1998) and there was an irrevocable fixing of exchange rates of the participating currencies by 1 January 1999; the third stage from 1999 led to the abolition of national currencies of 12 countries with the euro in circulation from 1 January 2002.

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