Top Hat Plan.

A top hat plan is a retirement plan that is established and maintained by an employer for the exclusive benefit of a select group of management or highly compensated employees. The employer contributions to a top hat plan are not subject to the same limitations as other retirement plans, such as 401(k)s. As a result, … Read more

Pigovian Tax.

A Pigovian tax is a tax that is imposed on a good or service in order to discourage its use. The tax is named after economist Arthur Pigou, who first proposed the concept. Pigou believed that the best way to address the negative externalities of a good or service was to tax it, in order … Read more

What is the total profit?

Total utility is understood as the total satisfaction achieved by a person for the consumption of a certain amount of goods or services. It is an economic concept that is calculated from the sum of the profits that the consumption of goods and services contributes to an individual, so that this type of utility increases … Read more