The time and money spent in carrying out financial transactions are called
A)economies of scale.
B)financial intermediation.
C)liquidity services.
D)transaction costs.

Question

Quizplus · Accepted Answer

The time and money spent in carrying out financial transactions are known as transaction costs. This includes fees, commissions, and other costs associated with buying or selling assets, as well as the time and effort involved in finding counter-parties, negotiating terms, and completing the transaction. The concept of transaction costs is important in understanding the efficiency of financial markets and the role of financial intermediaries in reducing these costs.

The Time and Money Spent in Carrying Out Financial Transactions