PRIVATE COST Meaning and
Definition
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Private cost refers to the expenses or negative consequences incurred by an individual, firm, or organization as a result of engaging in a particular economic activity or decision. It refers to the direct costs that are borne by the party involved in the activity or decision-making process. Private costs can be both monetary and non-monetary in nature.
Monetary private costs include tangible expenses, such as payments for resources, labor, raw materials, or equipment required for a specific undertaking. These costs are typically measurable and expressed in monetary terms. Non-monetary private costs, on the other hand, encompass intangible factors that may not have a direct financial impact but have an influence on the well-being or value of the individual or entity. These can include things like time, effort, and the potential for physical or emotional stress.
Private costs are distinct from social costs, as they focus solely on the individual or entity directly involved in the activity or decision. They do not account for the broader impact or externalities that the same activity may impose on society, such as pollution or congestion. Private costs are essential to consider when making economic decisions, as individuals and organizations need to weigh the benefits against the overall costs to determine the most economically viable course of action.
Common Misspellings for PRIVATE COST
- orivate cost
- lrivate cost
- -rivate cost
- 0rivate cost
- peivate cost
- pdivate cost
- pfivate cost
- ptivate cost
- p5ivate cost
- p4ivate cost
- pruvate cost
- prjvate cost
- prkvate cost
- provate cost
- pr9vate cost
- pr8vate cost
- pricate cost
- pribate cost
- prigate cost
- prifate cost
Etymology of PRIVATE COST
The word private cost does not have a specific etymology on its own. However, its components can be broken down:
- Private: The word private comes from the Latin word privatus, which means separate or personal. It has been used in English since the 14th century to refer to something belonging to or concerning an individual person or group.
- Cost: The word cost originates from the Middle English word coste, which means expense or outlay of money. It can be traced back to the Old French word coust, also meaning cost or expense.
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