Your local grocery store reduces transaction costs to the consumer
A) by reducing the consumer's need to travel from food producer to food producer (or manufacturer to manufacturer) to purchase the food staples that the consumer desires.
B) by providing a system that directs funds from lenders to borrowers.
C) by providing a system of justice to enforce contracts.
D) All of the above are correct.

Question

Quizplus · Accepted Answer

The reduction of transaction costs in this scenario is achieved by providing a centralized location where a variety of food staples can be purchased, thereby eliminating the need for consumers to travel to several different producers or manufacturers to fulfill their grocery needs.

Your Local Grocery Store Reduces Transaction Costs to the Consumer