A threat that the maker is exected to carry out. A's threat to B is that if B acts in certain ways, A will harm B. This threat is credible only if it is rational for B to believe that A will carry it out; if the threatened action also harms A, the threat will not seem credible to B. This holds unless B believes that A will feel that loss of credibility from failure to carry out the threat is even worse than the direct effects of the action itself. A reputation for ruthlessness or even irrationality thus makes threats more credible.

• actuarially fair odds
• actuary
• adaptive expectations
• adequacy, capital
• adjustable peg
• adjustment
• adjustment costs
• adjustment, price and quantity
• adjustment programme
• adjustment to factor cost
• administered price
• administration
• ad valorem tax
• Advance Corporation Tax
• advances
• advantage
• adverse selection
• adverse supply shock
• advertising
• Advisory, Conciliation and Arbitration Service
• AFDC
• AFL-CIO
• after-sales service
• after-tax income
• age-earnings profile