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<strong>Statutory interest rate</strong> – The maximum annual interest rate under the Higher Education Act of 1965, as amended, that a lender may charge on a FFEL Program loan.
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import substitution (F4, 02)<br />A development policy encouraging domestic production. This is achieved in various ways including the imposition of TARIFFS to keep out foreign-produced goods and the reduction in the prices of home-produced goods through subsidization or a change in their quality.<br /><em>See also:</em> infant industry
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<strong>Enterprise</strong> – The MDHE' s system for guaranteeing and servicing loans. Enterprise is owned and developed by American Student Assistance (ASA), the MDHE' s servicer. Also referred to as MODEL Enterprise.
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pure economic rent (D3)<br />The permanent return to a factor of production in excess of its TRANSFER EARNINGS. This arises from the unique nature of that factor which causes its supply to be INELASTIC. Examples of such factors include land, works of art exhibited at a charge to the public and exceptionally talented persons.
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