BusinessAugust 9, 2026
decomposition
dee-kom-puh-ZISH-un
Definition
The act of breaking a complex whole or aggregate statistical figure into its smaller, constituent parts to analyze each individual factor.
Etymology
Derived from the Latin 'de-' (down/thoroughly) and 'componere' (to put together). It entered English in the 17th century to describe the breaking down of substances, later expanding to include the analysis of abstract concepts.
In the news
The article suggests that instead of simply denying inflation data, analysts should use decomposition to identify how much of a price change is caused by specific factors like exchange rates, methodology shifts, or underlying market pressures.
Why Nigeria’s inflation rate is falling, while poverty rate rises
Read the full article ↗Tribune Online