This is problematic because not only does sound policy demand accurate theory, but he will never win over nay sayers if his argument is fundamentally the same as theirs.
Demand and supply theory suggests that if too many individuals pursue the same career, it will become increasingly difficult for each individual to find a job.
That will help the banks and might in theory feed the demand for euro-zone sovereign debt.
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Then again (indicator theory), demand for advertising should hint at larger economic trends.
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The higher index, in theory, indicates higher demand for commodities and therefore higher prices for those raw materials being shipped, mostly, to emerging markets.
In theory, if private demand for new euro assets matched the supply from governments and firms that will borrow in euros, there might be no effect at all.
What that ultimately means, in theory, is that less demand for a currency means higher interest rates in the future in order to attract people to it.
The book proposes a kind of contingency theory of management: different situations demand different kinds of management.
In the first session, Julian Birkinshaw proposed a contingency theory of management: different situations demand different kinds of management.
Although any sort of slowdown in America would reduce other countries' exports, John Calverley, the bank's chief economist, argues that this could in theory be offset by stronger domestic demand.
There's a whole discipline, called queuing theory, on scheduling service to cope with intermittent demand.
The one possible flaw in the theory: Stores do such a good job predicting demand and managing inventory levels that less discounting than expected will be needed.
The fundamental assumption of this theory is that since the economy is underperforming, total demand must be too low.
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The logic behind this is derived from a theory called Ricardian equivalence, which holds that government spending cannot boost demand, since consumers cut their own expenditure in anticipation of higher taxes ahead.
And as basic economic theory tells us, in any given system, when you increase supply without boosting demand, the result is that prices fall.
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Moreover, many governments that provide medical care for their citizens (including America, if Barack Obama's health proposals become law) are beginning to demand that drugs firms prove the effectiveness of expensive new pills in practice as well as in theory.
In theory, this is safe, because it is highly unlikely that all the bank's depositors will demand their money back at the same time.
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