Internal Transaction Costs Are Called ________ Costs to Distinguish Them

question 51

Multiple Choice

Internal transaction costs are called ________ costs to distinguish them from the transaction costs of exchanges between organizations in the environment.

• A) historic
• B) sunk
• C) opportunity
• D) bureaucratic

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Definitions:

Inoculation Theory

A psychological theory suggesting that exposure to weakened forms of an argument increases later resistance to that argument, similar to how exposure to a virus can create immunity.

Cognitive Dissonance

The psychological discomfort experienced when holding two or more conflicting beliefs, values, or attitudes simultaneously.

Inoculation Theory

A theory suggesting that exposure to a weakened form of an argument strengthens people's ability to refute stronger, future arguments.

Cognitive Dissonance

A psychological state in which an individual experiences discomfort or conflict due to holding contradictory beliefs, attitudes, or values at the same time.