The economic cost incurred by individuals and/or firms associated with analyzing and make a decision to engage in a transaction are known as:

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Search costs are the expenses or efforts incurred by individuals or firms to obtain information related to a transaction. These costs include time and money spent on research, comparison, evaluation, and negotiation of different options or suppliers. Search costs can be substantial, especially in markets with high information asymmetry, product differentiation, or transaction costs. Therefore, reducing search costs can increase market efficiency, competition, and consumer welfare.

The Economic Cost Incurred by Individuals And/or Firms Associated with Analyzing