Question

Which term refers to the cost that motivates an economic decision?

Answer 1

The term that refers to the cost that motivates an economic decision is "incentive." It is simply defined as something that "motivates a person to perform his/her duty." It can also be described as a payment that prompts a much profitable output and investment.

Answer 2

The term that refers to the cost that stimulates or inspires an economic decision is called INCENTIVE. Most of the type, incentives come in a form of payment or cash in the economic perspective. This gives an individual more reason to strive harder to become better in every action or task he performs.