Transaction cost

In economics and related disciplines, a transaction cost is a cost in making any economic trade when participating in a market. In Transaction Costs and Economic Performance, Douglass C. North argues that institutions, understood as the set of rules in a society, are key in the determination of transaction costs. In this sense, institutions that facilitate low transaction costs, boost economic growth. Douglass North states that there are four factors that comprise transaction costs – "measurement," "enforcement," "ideological attitudes and perceptions," and "the size of the market." Measurement refers to the calculation of the value of all aspects of the good or service involved in the transaction. Enforcement can be defined as the need for an unbiased third party to ensure that neither party involved in the transaction reneges on their part of the deal; these first two factors appear in the concept of ideological attitudes and perceptions, North's third aspect of transaction costs. Ideological attitudes and perceptions encapsulate each individual's set of values, which influences their interpretation of the world.

The final aspect of transaction costs, according to North, is market size, which affects the partiality or impartiality of transactions. Transaction costs can be divided into three broad categories: Search and information costs are costs such as in determining that the required good is available on the market, which has the lowest price, etc. Bargaining and decision costs are the costs required to come to an acceptable agreement with the other party to the transaction, drawing up an appropriate contract and so on. In game theory this is analyzed for instance in the game of chicken. On asset markets and in market microstructure, the transaction cost is some function of the distance between the bid and ask. Policing and enforcement costs are the costs of making sure the other party sticks to the terms of the contract, taking appropriate action if this turns out not to be the case. For example, the buyer of a used car faces a variety of different transaction costs; the search costs are the costs of determining the car's condition.

The bargaining costs are the costs of negotiating a price with the seller. The policing and enforcement costs are the costs of ensuring that the seller delivers the car in the promised condition; the idea that transactions form the basis of an economic thinking was introduced by the institutional economist John R. Commons, he said that: These individual actions are trans-actions instead of either individual behavior or the "exchange" of commodities. It is this shift from commodities and individuals to transactions and working rules of collective action that marks the transition from the classical and hedonic schools to the institutional schools of economic thinking; the shift is a change in the ultimate unit of economic investigation. The classic and hedonic economists, with their communistic and anarchistic offshoots, founded their theories on the relation of man to nature, but institutionalism is a relation of man to man; the smallest unit of the classic economists was a commodity produced by labor.

The smallest unit of the hedonic economists was the same or similar commodity enjoyed by ultimate consumers. One was the objective side, the other the subjective side, of the same relation between the individual and the forces of nature; the outcome, in either case, was the materialistic metaphor of an automatic equilibrium, analogous to the waves of the ocean, but personified as "seeking their level." But the smallest unit of the institutional economists is a unit of activity – a transaction, with its participants. Transactions intervene between the labor of the classic economists and the pleasures of the hedonic economists because it is society that controls access to the forces of nature, transactions are, not the "exchange of commodities," but the alienation and acquisition, between individuals, of the rights of property and liberty created by society, which must therefore be negotiated between the parties concerned before labor can produce, or consumers can consume, or commodities be physically exchanged".

The term "transaction cost" is thought to have been coined by Ronald Coase, who used it to develop a theoretical framework for predicting when certain economic tasks would be performed by firms, when they would be performed on the market. However, the term is absent from his early work up to the 1970s. While he did not coin the specific term, Coase indeed discussed "costs of using the price mechanism" in his 1937 paper The Nature of the Firm, where he first discusses the concept of transaction costs, refers to the "Costs of Market Transactions" in his seminal work, The Problem of Social Cost; the term "Transaction Costs" itself can instead be traced back to the monetary economics literature of the 1950s, does not appear to have been consciously'coined' by any particular individual. Arguably, transaction cost reasoning became most known through Oliver E. Williamson's Transaction Cost Economics. Today, transaction cost economics is used to explain a number of different behaviours; this involves considering as "transactions" not only the obvious cases of buying and selling, but day-to-day emotional interactions, informal gift exchanges, etc. Oliver E. Williamson, one of the most cited social scientist at the turn of the century, was awarded the 2009 Nobel Memorial Prize in Economics.

According to Williamson, the determinants of transaction costs are frequency, uncertainty, limited rationality, opportunistic behavior. At least two definitions of the phrase "transaction cost" are used in literature. Transaction costs have been broadly defined by Steven N. S. Cheung as any cos

Video game bot

In video games, a bot is a type of artificial intelligence –based expert system software that plays a video game in the place of a human. Bots are used in a variety of video game genres for a variety of tasks: a bot written for a first-person shooter works differently from one written for a massively multiplayer online role-playing game; the former may include analysis of the map and basic strategy. Bots written for first-person shooters try to mimic how a human would play a game. Computer-controlled bots may play against other bots and/or human players in unison, either over the Internet, on a LAN or in a local session. Features and intelligence of bots may vary especially with community created content. Advanced bots feature machine learning for dynamic learning of patterns of the opponent as well as dynamic learning of unknown maps – whereas more trivial bots may rely on lists of waypoints created for each map by the developer, limiting the bot to play only maps with said waypoints. Using bots is against the rules of current massively multiplayer online role-playing games, but a significant number of players still use MMORPG bots for games like RuneScape.

MUD players may run bots to automate laborious tasks, which can sometimes make up the bulk of the gameplay. While a prohibited practice in most MUDs, there is an incentive for the player to save time while the bot accumulates resources, such as experience, for the player character. Bots may be dynamic, or both. Static bots are designed to follow pre-made waypoints for each map; these bots need a unique waypoint file for each map. For example, Quake III Arena bots use an area awareness system file to move around the map, while Counter-Strike bots use a waypoint file. Dynamic bots learn the maps as they play, such as RealBot for Counter-Strike; some bots are designed using both dynamic features. Artificial intelligence in video games General game playing Non-player character


Magherafelt is a small town and civil parish in County Londonderry, Northern Ireland. It had a population of 8,805 at the 2011 Census, it is the biggest town in the south of the county and is the social and political hub of the area. It is part of Mid-Ulster District. Magherafelt has been documented as a town since 1425. An earlier name for the area was Teach Fíolta - ‘Fíolta’s house’; this would suggest. The site of the medieval parish church may be marked by the ruins of a church and graveyard at the bottom of Broad Street; the Salters Company of London was granted the surrounding lands in South Londonderry in the seventeenth century as part of the Plantation of Ulster. Subsequently, the town began to take on its current shape with a central diamond forming the heart of the town. During The Troubles in the late 20th century, 11 people were killed in or near Magherafelt in connection with the conflict; the town is part of the Mid Ulster. The Mid Ulster District Council has 40 councillors of which five are elected by the electors of Magherafelt.

In the 2019 Mid Ulster District Council election, the five elected councillors included two members of Sinn Féin, one member of the SDLP and two members of the Democratic Unionist Party. At the foot of Broad Street is located The Bridewell; this building housed the town's court-house and gaol. The name Bridewell is a common name in Ireland for a prison, it now houses the town's library and tourist centre. Magherafelt lies on the A31 route. Traffic from north and south passes through the town centre leading to considerable congestion. In the 1970s a bypass was proposed route, funded in 2013 and completed in 2016; the road is a single-carriageway around the eastern edge of the town connecting Moneymore Road and Castledawson Road. The old road through the town became the B40; the roads surrounding Magherafelt are under-going a major overhaul e.g. being transformed to dual carriage ways and being refurbished. Magherafelt railway station opened on 10 November 1856, shut for passenger traffic on 28 August 1950 and shut altogether on 1 October 1959.

Primary Schools: Holy Family Primary School Kilronan Special School Gaelscoil an tSeanchaí Naíscoil an tSeanchaí Magherafelt Controlled Primary School Magherafelt Primary Integrated Primary SchoolSecondary Schools: St. Mary's Grammar School Saint Pius X College Rainey Endowed School Sperrin Integrated College Magherafelt High School Magherafelt has several sporting teams, including Magherafelt Reds, O'Donovan Rossa Magherafelt GAC, the Rainey Old Boys Rugby Club and Magherafelt Sky Blues F. C.. There is the Mid Ulster Athletic Club,Spires CC Cycling Club; the Mid Ulster Swimming the Magherafelt District Motorclub. At the 2011 census, there were 8,805 people living in Magherafelt; this represented an increase of 5.2% on the Census 2001 population of 8,372. Of these: 21.75% were aged under 16 years and 12.44% were aged 65 and over 48.65% of the population were male and 51.35% were female 59.73% were from a Catholic background and 35.67% were from a Protestant or other Christian background 5.65% of people aged 16–74 were unemployed.

Jonathan Anderson – fashion designer Joseph Burns – an Ulster Unionist member of the Parliament of Northern Ireland from 1960 – 1973 Paul Charles – novelist, music promoter and talent agent Peter Doherty – former footballer and manager of Northern Ireland Barry Gillis – current Derry Gaelic footballer Monsignor Laurence Higgins – former Vicar General of the Diocese of St. Petersburg and founder of St. Lawrence Catholic Parish in Tampa, Florida Harry Gregg – former Manchester United and Northern Ireland goalkeeper Robert Hagan, naval officer and abolitionist Aaron Hughes – current professional Association Footballer Willie McCrea – politician and a member of the Democratic Unionist Party Terry McFlynn – a current football player for Sydney FC and former Northern Ireland Under 21 player Mickey Niblock – former Derry Gaelic footballer Laura Pyper – actress Dean Shiels – professional association football player Kenny Shiels – current manager of Derry City Sir James Starritt, KCVO – Deputy Commissioner of Police of the Metropolis from 1972–75 List of civil parishes of County Londonderry List of localities in Northern Ireland by population Magherafelt Council Website Culture Northern Ireland