Ceteris Paribus

Business, Legal & Accounting Glossary

Definition: Ceteris Paribus

Ceteris Paribus

Full Definition of Ceteris Paribus

Ceteris paribus is a Latin expression which loosely means “holding other things constant”. Mostly used in economics, this phrase is used by economic analysts to denote the effect of one economic change on another when all other variables, which may affect the latter, remain constant. The use of this phrase in economics is done for simplification of the formulation and description of economic changes and results.

For example, if the price of beef rises, ceteris paribus, sales of beef will fall. The second variable can be affected by various other factors. However, the use of the phrase ceteris paribus takes these factors as constant.

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Modern Language Association (MLA):
Ceteris Paribus. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
January 24, 2022 https://payrollheaven.com/define/ceteris-paribus/.
Chicago Manual of Style (CMS):
Ceteris Paribus. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/ceteris-paribus/ (accessed: January 24, 2022).
American Psychological Association (APA):
Ceteris Paribus. PayrollHeaven.com. Retrieved January 24, 2022
, from PayrollHeaven.com website: https://payrollheaven.com/define/ceteris-paribus/

Definition Sources

Definitions for Ceteris Paribus are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 30th March, 2020 | 5 Views.