What Is a Long Hedge? A long hedge refers to a futures position that is entered into for the purpose of price stability on a purchase. Long hedges are often used by manufacturers and processors to remove price volatility from the purchase of required inputs. These input-dependent companies know they will require materials several times
What Is the Low-Income Housing Tax Credit (LIHTC)? The Low-Income Housing Tax Credit (LIHTC) is a tax incentive for housing developers to construct, purchase, or renovate housing for low-income individuals and families. The Low-Income Housing Tax Credit was written into the Tax Reform Act of 1986. There are specific qualifications residents must fulfill to benefit from these
What Is the Long-Legged Doji? The long-legged doji is a candlestick that consists of long upper and lower shadows and has approximately the same opening and closing price, resulting in a small real body. Key Takeaways The long-legged doji is a candlestick that consists of long upper and lower shadows and has approximately the same opening and
What Is Long Market Value? The long market value is the aggregate value, in dollars, of a group of securities held in a cash account or margin account at a broker. Long market value is calculated using the prior trading day’s closing prices of each security in the account, though in a liquid market, current
What Is the Long Run? The long run is a period of time in which all factors of production and costs are variable. In the long run, firms are able to adjust all costs, whereas in the short run firms are only able to influence prices through adjustments made to production levels. Additionally, while a
What Is Long Run Incremental Cost (LRIC)? A long run incremental cost (LRIC) is a forward-looking cost that a company needs to include in its accounting. Long run incremental costs are gradual costs a company is able to predict and plan for over the long term. Key Takeaways A long run incremental cost (LRIC) is
What is Longshore and Harbor Workers’ Compensation Act The Longshore and Harbor Workers’ Compensation Act (LHWCA) is a federal law that gives medical and other benefits, such as vocational rehabilitation, to certain maritime employees. The LHWCA covers longshoremen, harbor workers, and many other maritime employees. Other employees include those who load and unload ships, truck drivers who haul
What Is Long-Short Equity? Long-short equity is an investing strategy that takes long positions in stocks that are expected to appreciate and short positions in stocks that are expected to decline. A long-short equity strategy seeks to minimize market exposure while profiting from stock gains in the long positions, along with price declines in the short
What Is the Long-Short Ratio? The long-short ratio represents the amount of a security that is currently available for short sale compared to the amount that is actually sold short. The long-short ratio can be used as an indicator for a specific security, but can also be used to show the value of short sales
What Is the Long Tail? The long tail is a business strategy that allows companies to realize significant profits by selling low volumes of hard-to-find items to many customers, instead of only selling large volumes of a reduced number of popular items. The term was first coined in 2004 by Chris Anderson, who argued that
