transaction cost
Definition 1
General: Fee charged by a financial intermediary such as a bank, broker, or underwriter.
Definition 2
Economics: Cost associated with exchange of goods or services and incurred in overcoming market imperfections. Transaction costs cover a wide range: communication charges, legal fees, informational cost of finding the price, quality, and durability, etc., and may also include transportation costs. Transaction costs are a critical factor in deciding whether to make a product or buy it. Also called frictional cost. See also transfer cost.
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transaction cost is in the Accounting & Auditing and Economics, Politics, & Society subjects.
transaction cost appears in the definitions of the following terms: Black Scholes option-pricing model, frictional cost, market efficiency, current market selling price, domesticated market, Coase's theorem, capital asset pricing model (CAPM) and arbitrage pricing theory (APT)
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