Asked by
Allison Ramsey
on Dec 12, 2024
Verified
If the Internet makes it easier for sellers to find buyers and makes it easier for buyers to learn about the products that are available for sale, we would expect that
A) the volume of trade will decline.
B) transaction costs will rise.
C) the gains from trade will increase.
D) buyers and sellers will be worse off.
Internet
A global network connecting millions of computers, enabling the exchange of data, news, and opinions.
Transaction Costs
The expenses incurred when buying or selling goods or services, beyond the price of the goods.
- Identify the significance and effects of transaction costs on market and exchange efficiency.
- Understand the importance of technology and effective communication in minimizing transaction expenses and facilitating increased trade volumes.
Verified Answer
KA
Learning Objectives
- Identify the significance and effects of transaction costs on market and exchange efficiency.
- Understand the importance of technology and effective communication in minimizing transaction expenses and facilitating increased trade volumes.