Tag: BIM study notes

Transaction Costs and Information Costs Transaction costs are those costs associated with bringing buyers and sellers together.The costs associated with making exchange possible are transaction costs such as Travel cost Negotiation cost Property rights enforcement cost Cost of acquiring information Information costs In real world markets-even those that are highly competitive- there is a considerable […]

Cost of Producing Information One of the most fundamental features of information goods is that their cost of production is dominated by the “first-copy costs” i.e. it is very costly to produce the first copy and very cheap to produce subsequent copies. It is often said, for example, that the “first copy costs” are more […]

Types of Feedback In network externalities, two types of feedback generally known are of Positive feedback and  Negative feedback Positive feedback Positive feedback makes the strong get stronger and the weak get weaker, leading to extreme outcomes i.e. dominance of the marketplace by a single firm or technology. Positive feedback illustrates that success beget success […]