Showing posts with label Debt-to-GDP Ratio. Show all posts
Showing posts with label Debt-to-GDP Ratio. Show all posts

Friday, May 28, 2010

What is Leverage?

Leverage.

We all have heard about it. But what is it?

To some, it's owning a significant amount of information that the other negotiating party involved doesn't have.

To others, it's a more financial based system where individuals and/or companies find borrowed funds for investment purposes.

A simple example of financial leverage: