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MARGIN REQUIREMENT: The fraction of the purchase price of financial investments, like stocks and bonds, that the buyer must pay for in cash. The remaining part of the purchase price can thus be financed with credit.

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FACTOR DEMAND DETERMINANTS

The three most important determinants that shift the factor demand curve are: (1) product price, (2) factor productivity, and (3) prices of other factors. Comparable to any determinant, these three cause the factor demand curve to shift to a new location. An increase in factor demand is a rightward shift of the factor demand curve and a decrease in factor demand is a leftward shift.

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