Search Cost
Definition
The time, money, and effort spent finding a suitable buyer, seller, or job. Drives price dispersion and frictional unemployment.
Example
Shopping around for a cheaper insurance quote has a non-trivial search cost.
The time, money, and effort spent finding a suitable buyer, seller, or job. Drives price dispersion and frictional unemployment.
Shopping around for a cheaper insurance quote has a non-trivial search cost.