The opportunity cost of capital is the expected rate of return forgone by bypassing of other potential investment activities for a given capital. It is a rate of return that investors could earn in financial markets.
Famous quotes containing the words opportunity, cost and/or capital:
“There are times when words seem empty and only actions seem great. Such a time has come, and in the Providence of God America will once more have an opportunity to show the world that she was born to save mankind.”
—Woodrow Wilson (18561924)
“The cost of a thing is the amount of what I will call life which is required to be exchanged for it, immediately or in the long run.”
—Henry David Thoreau (18171862)
“There is no private house in which people can enjoy themselves so well as at a capital tavern.... No, Sir; there is nothing which has yet been contrived by man by which so much happiness is produced as by a good tavern or inn.”
—Samuel Johnson (17091784)