POSITIVE BASIS Meaning and
Definition
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Positive Basis can have different meanings depending on the context in which it is used.
In finance and investments, a Positive Basis refers to a situation where the price of a futures contract is higher than the spot price of the underlying asset. This can occur due to factors such as storage costs, interest rates, or market expectations. For example, if the price of a three-month futures contract for crude oil is higher than the spot price of crude oil, it is said to have a positive basis. This can indicate that investors expect the price of crude oil to increase over the next three months.
In mathematics, a Positive Basis refers to a set of vectors that spans a vector space and has the property that all vectors in the set have positive coefficients when expressed as linear combinations. In other words, every vector in the vector space can be expressed as a sum of positive multiples of the basis vectors. Positive basis vectors are often used in optimization problems and linear programming to define constraints on the values that variables can take.
In general, Positive Basis can be understood as a fundamental or supporting factor that is advantageous, favorable, or constructive in a particular situation. It implies a beneficial or optimistic perspective, indicating that there are positive grounds or underlying factors.
Common Misspellings for POSITIVE BASIS
- oositive basis
- lositive basis
- -ositive basis
- 0ositive basis
- pisitive basis
- pksitive basis
- plsitive basis
- ppsitive basis
- p0sitive basis
- p9sitive basis
- poaitive basis
- pozitive basis
- poxitive basis
- poditive basis
- poeitive basis
- powitive basis
- posutive basis
- posjtive basis
- posktive basis
- posotive basis
Etymology of POSITIVE BASIS
The etymology of the word "positive basis" can be broken down as follows:
1. Positive: The word "positive" originates from the Latin word "positivus", which is derived from the verb "ponere" meaning "to place" or "to put". It entered Middle English via Old French and took on the meaning of "assertive" or "affirmative" in the 14th century.
2. Basis: The term "basis" traces back to the Latin word "basis", which in turn came from the Greek word "basis", meaning "step" or "base". It entered English in the late 16th century, referring to the foundation or underlying principle of something.
Therefore, the etymology of the complete term "positive basis" combines the Latin and Greek roots to convey the concept of an affirmative or confirmatory foundation or underlying principle.
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