Explain the distinction between transaction costs and other costs that occur in economic systems.

Introduction The economic importance of transaction costs in widely recognized. In modern economies, transaction costs have become equally (and perhaps more) important than production costs. Early economic theory focused entirely on production costs assuming that transaction costs did not exist. However, nowadays it has become relatively more sensible to do research in transaction cost rather than production cost. Naturally, there are four parts to the essay. The first part explains the definition of transaction cost. …showed first 75 words of 2635 total…

…showed last 75 words of 2635 total…and economy theory Masten, S.E.1982 Transaction Costs, Institutional choice and the organization of Production Ghertman,M. 1998 Measuring Macro-Economic Transaction Costs: A comparative Perspective and Possible Policy Implication Heling Shi, Hayden Mathysen 2002 E-commerce, transaction cost, and the network of division of labour: a business perspective TING-PENG LIANG & JIN-SHIANG HUANG, "An Empirical Study on Consumer Acceptance of Products in Electronic Markets: a Transaction Cost Mode www.smarterKids.com www.evesham.com www.nua.com