What is an Associate In Insurance Services (AIS)? The associate in Insurance Service is a professional designation awarded to insurance professionals that have passed the four national exams by the American Insurance Institute. Out of the four national exams, one is designed for the AIS program, while the other three are for the IIA program covering...

What are Menu Costs? These costs of changing prices are called menu costs—like the costs of printing a new set of menus with different prices in a restaurant. Prices do respond to forces of supply and demand, but from a macroeconomic perspective, the process of changing all prices throughout the economy takes time. To understand the effect of sticky...

What is the reservation point in a negotiation? The reservation point (also known as a resistance point) is the minimum acceptable term or terms that a negotiator is willing to accept before she ceases to negotiate and walks away. The reservation point may concern a single interest or collective value ascribed to any number of interests.  If the ter...

What is Annuitization? Annuitization can be defined as the process of paying a fixed amount of money over time, in incremental payments to a beneficiary or an annuitant. Annuitization extends your annuity investment into a stream of regular payments to the annuity beneficiary or a surviving spouse in a joint life arrangement. This income is paid to ...

What major international agreements affect international trade? The United States has entered into two types of treaty with multiple countries regarding the trade and shipment of goods. These treaties allow individuals from the US and the host country to sell and ship goods to the other country without special tariffs or duties. The two types of tre...

What is Chapter 15 Bankruptcy? Chapter 15 was included in the US Bankruptcy Code in 2005. It facilitates a friendly environment for the settlement of international insolvencies. Specifically, Chapter 15 facilitates the relationship between U.S courts and foreign courts.  Chapter 15 focuses on jurisdiction. A foreign debtor can access the US bankrupt...

What is the Convention on the International Trade in Endangered Species (CITES)? The Convention on International Trade in Endangered Species (CITES), also known as the the Washington Convention, is defined as a multilateral pact or treaty focused on safeguarding the safety of endangered plants and animals.  What is the History of  the Convention on ...

What is Just Compensation? The government of any state has the power to seize private property for public use, this is done using the power of eminent domain. When governments take over private properties for public use, they are required to compensate private owners. A just compensation is the compensation that the government pays to owners of priv...

What is the Cairns Group? The Cairns Group is an interest group of 19 agriculture exporting countries.  It was established in Australia in 1986. Its major objectives include agricultural trade reform, reduction of export subsidies on agricultural products, and other agricultural issues.  The members are; Argentina, South Africa, Australia, Guatemala...

What is a Multilateral Development Bank? A multilateral development bank (MDB) refers to an international financial institution, chartered by at least two nations, in order to promote economic development and growth in poorer or less-developed countries. Important takeaways: Multilateral development banks came into existence after World War II for r...