what is monentary cost?
Answers
Answer:
The amount of liquid funds that a product or service costs a consumer to buy. The monetary price of a good might include the cash needed to purchase it, the time and expenses involved in shopping for it, and the risk taken in spending money to receive the anticipated benefit from the good's features.
Answer:
It is perhaps the least important but most easily quantifiable term applied to a good or service. Roughly speaking it is the price in currency for that good or service.
However, this ignores most of, if not all, the other costs of the product in terms of what is lost in the production. Many products should make allowances for the human cost in lost health and death that something like coal mining exacts. or the sost in health to the consumer of cigarettes, or the cost to the environment of the production and use of fossil fuels.
In the 19th Century, textiles and mining took no thought for the workers injured and killed in the production of cotton, or of coal and other minerals. It was only in the late 19th and the 20th Centuries that some economists began to take heed and try to quantify those losses, which led to significant changes in work place health and safety concerns. In many producing counties, India, Bangladesh South East Asia, China, those costs are still not adecquately accounted.
This fixation on monetary cost is what fuels Globalization, because not all societies count the ancillary costs of a good on the health and safety of its inhabitants. In the US there is a price to pay when the factory falls down, the machinery maims or kills the workers, or when the production process for the good is determined to be carcinogenic through extended expoaure, consequently US and other producers ship jobs easily done here and in other industrialized nations to far away places, where they are not held liable for their carelessmess, thereby damaging the economy of the US, and the environment and people of the producing branch-plant nation.
The fixation of the boards of directors on simple monetary costs has led to the hollowing out of the US and other economies, depressing the numbers of the middle classes, and creating a new nation of impoverished workers in the service economy in WalMart or McDonalds. There was a brief period of criticism of the McJob (all those poorly paid service sector economy jobs) but it has essentially died out with the loss of the rest of the economy. Now all that is on offer are McJobs for entry level people even those with higher education.
otherwise
The amount of liquid funds that a product or service costs a consumer to buy. The monetary price of a good might include the cash needed to purchase it, the time and expenses involved in shopping for it, and the risk taken in spending money to receive the anticipated benefit from the good's features.