'implicit cost' is a correct and usable phrase in written English.
This phrase refers to the costs associated with an activity which are not included in any financial calculation and which are therefore not quantifiable. For example: Many small business owners forget to consider the implicit costs associated with choosing a certain business model, such as the time and energy they will need to devote to ensure the venture is successful.
This is far less than the implicit cost of federal student and mortgage loan guarantees.
And a softening rupee increases the implicit cost of India's high foreign debt.
This reduces the burden of child-rearing on the parents and cuts the implicit cost of children.
The difference between the land prices is the implicit cost of all the local land-use controls, from zoning to the time it takes to get a permit.
Of course, in addition to the spread, which is an implicit cost of trading, small investors also face explicit costs in the form of commission fees charged by their retail brokers.
Hoarding cash in tax havens is evidence of the implicit cost of international tax deferral, as companies engage in wasteful tax planning techniques and fail to allocate economic resources in an efficient manner.
That change is hard to explain without invoking the implicit cost-benefit calculations that transformed social norms.
Finally, commissions that truly reflect trading costs, as opposed to the implicit costs of the spread, may help investors think twice before trading too much.
Robinson Crusoe had a problem of allocating his time between sleep, garnering food, building shelter, etc.; and he confronted implicit costs of extending any one activity, for more food meant less of other things.
In 2012, a federal court struck down the Texas law on the grounds that: The implicit costs of obtaining SB 14-qualifying ID will fall most heavily on the poor and that a disproportionately high percentage of African Americans and Hispanics in Texas live in poverty...
Implied volatility is not so much "the market's best guess about how volatile the markets will be in the future" as the option seller's best guess of his implicit costs of dynamically hedging his position.The expression "both less liquid and more volatile" might be better stated as "less liquid implies more volatile".
