The difference between the total direct and indirect cost of a tax levied on the taxpayer and a fictive lump-sum tax yielding the same revenue. [ref. 8030]

The benefit paid in a defined-benefit scheme. It is usually based on a formula that takes into account the individual number of insurance years and the amount of earnings during the same period. The formula-based benefit level is guaranteed to everyone meeting the entitlement conditions. [ref. 8030]

The contribution to be paid in a defined-contribution (pension) scheme. [ref. 8030]
See: defined-contribution scheme

A scheme under which the benefit is a defined amount,which depends on the number of contribution or insurance years and on the amount of earnings. [ref. 776]

A scheme under which contributions are paid to an individual account for each scheme member. The benefit depends on the account balance at the date of benefit withdrawal, i.e. on the amounts contributed, the interest earned and accumulated in the account as well as the administrative costs to be deducted. [ref. 8030]

In national accounting the ratio between a "nominal" and a "real" variable (e.g. private consumption in current prices versus constant prices of a base year). Measures the inflation contents of the nominal variable. Constructing the basket of goods and services underlying a deflator is one of the core theoretical problems of measuring "real growth" of an economy, as the composition of the basket is itself a function of price developments. [ref. 8030]

See also: price index

The demographic ratio is a statistical indicator used in demographic analyses.

When multiplied by 100, (d) can be interpreted as the number of youths per 100 actives, (e) as the number of elderly persons per 100 actives and (f) as the total number of dependants per 100 actives. [ref. 8030]

See also: transfer dependency ratio

The ratio of the average number of contributions actually paid during a financial year to the maximum potential number of contributions that can be paid during that financial year. [ref. 776]

Person who, though not a member of a health micro-insurance scheme, benefits from the services it provides as a result of his or her family ties to a member. Some schemes accept as dependents the member's spouse (or spouses) and children up to a specified age; others also include ascendants (members' parents and grandparents) and even siblings (members' brothers and sisters). Members must register dependents upon enrolment in the scheme or, in the case of marriage or birth, subsequent to enrolment. When a person is no longer a member of the scheme, coverage is no longer provided to his or her dependents. [ref. 144]

A simplification of a stochastic model in which the proportion of occurrences of a given event estimated by the stochastic model is assumed to occur with probability 1. [ref. 776]

See: stochastic model

Aggregate income produced by the inhabitants of a country within the country's boundaries, as opposed to "national" income, which is produced by the citizens of a country irrespective of whether the production takes place within or outside the contry's boundaries. For example, the earned income of a Belgian working in Luxembourg increases the domestic income of Luxembourg but the national income of Belgium. [ref. 8030]

See also: national income