noun
factor cost
Economic term referring to the cost of production inputs (land, labor, capital) before adding indirect taxes or subtracting subsidies.
GDPを要素費用で評価すると、市場価格とは異なる数値になる。
When GDP is valued at factor cost, the figure differs from market prices.
Market price includes indirect taxes and excludes subsidies, while factor cost reflects the actual cost of production inputs.
Compound of 要素 (factor, element) and 費用 (cost, expense), directly corresponding to the English economic term 'factor cost'.