Definition: User cost

Category: Prices

The cost incurred over a period of time by the owner of a fixed asset or consumer durable as a consequence of using it to provide a flow of capital or consumption services. User cost consists mainly of the depreciation of the asset or durable (measured at current prices and not at historic cost) plus the capital, or interest, cost. http://ec.europa.eu/eurostat/product?code=KS-RA-12-022&mode=view International Labour Organization (ILO), International Monetary Fund (IMF), Organisation for Economic Co-operation and Development (OECD), Statistical Office of the European Communities (Eurostat), United Nations (UNECE), The World Bank, Consumer Price Index Manual: Theory and Practice, Geneva, August 2004