What Are Information Costs?

Information cost, like physical assets, human assets, technology, financial resources and knowledge, is an essential production factor for economic development. In most cases, information does not constitute a product entity of an enterprise, which is the same reason that manpower does not constitute a product entity. The variety of information products is also diverse. Essentially, anything that can be digitized (encoded into a byte) is information. Information is of different value to different consumers. Regardless of the specific source of the information, people are willing to pay for it.