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Originally Posted by NatCh
"Cost of doing business" is traditionally passed on to the customer in one form or another, rather like a retail business's taxes, the customer really pays them. There ain't no tax fairy, and there ain't no 'cost of doing business' fairy.
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But when you buy a car, there isn't a line item on the receipt saying 'fee for the dealer's mortgage'. Yes, you end up paying for it - but not 100% of the cost. The dealer only passes on part of the cost to keep competitive.
This kind of stuff is what I call a "fuzzy cost". The consumer ends up paying for it (at least partially), but it's not explicit (like sales tax) and it's not 100% passed on.