Overheating and Overhedging: Difference between pages

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''Economics''.
"Overhedging" is a form of speculation.


Overheating describes the situation in an economy when production cannot keep pace with rising demand, leading to the risks of high inflation and of later recession.
It means intentionally ""hedging"" an amount GREATER THAN the total related risk exposure


<span style="color:#4B0082">'''''Not overheating yet'''''</span>
:"While the building global economic upswing may eventually gain so much momentum that the risk of overheating becomes more pronounced, we are not there yet.
:Faster productivity growth helps delay this process."
:''The Treasurer magazine, April 2018, p15 - Kallum Pickering, senior UK economist, Berenberg Bank.''
== See also ==
* [[Deflation]]
* [[Demand]]
* [[Demand-pull inflation]]
* [[Financial stability]]
* [[Hyperinflation]]
* [[Inflation risk]]
* [[Recession]]
* [[Reflation]]
* [[Stagflation]]
* [[Supply]]
* [[Tightening]]
[[Category:Knowledge_and_information_management]]
[[Category:The_business_context]]

Revision as of 14:20, 23 October 2012

"Overhedging" is a form of speculation.

It means intentionally ""hedging"" an amount GREATER THAN the total related risk exposure