\pˈɪɡuː ɪfˈɛkt], \pˈɪɡuː ɪfˈɛkt], \p_ˈɪ_ɡ_uː ɪ_f_ˈɛ_k_t]\
Definitions of PIGOU EFFECT
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A concept of economicts, put forward by Arthur Cecil Pigou, a classical economist. The Pigou effect states that due to a significant decrease in the prices of proudcts, a 'wealth effect' would be created, ultimately resulting in full employment. The concept is based on the fact that a large decrease in prices will free up more money for people, allowing for an increase in demand. Howeer, the Pigou Effect does not work in real.
By Henry Campbell Black
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- lunar calendar used by Moslems; dates from 622 AD (Hegira); beginning of the Moslem retrogresses through solar year completing cycle every 32 years lunar calendar used by Muslims; dates from 622 AD (Hegira); beginning of the Muslim year retrogresses through solar completing cycle every 32 years