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March 5, 2009

Friction


Along with the noise and unforeseen problems and costs of idea transmission, there are applications of this term to other processes as well. In mechanical and financial processes this idea is referred to as Friction.

"Friction costs
Costs, both implied and direct, associated with a transaction. Such costs include time, effort, money, and associated tax effects of gathering information and making a transaction."*

The more abstract movement of ideas can be legitimately compared with more tangible things such as money, stocks, and even a car through an assembly line. All of these things are not completely transparent and have unseen costs and problems associated with their creation and usage. Nothing is perfectly efficient.

*http://financial-dictionary.thefreedictionary.com/Friction+costs
Posted by      Chris S. at 12:55 PM EST

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