Opportunity Cost of Capital

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:

    Media mystifications should not obfuscate a simple, perceivable fact; Black teenage girls do not create poverty by having babies. Quite the contrary, they have babies at such a young age precisely because they are poor—because they do not have the opportunity to acquire an education, because meaningful, well-paying jobs and creative forms of recreation are not accessible to them ... because safe, effective forms of contraception are not available to them.
    Angela Davis (b. 1944)

    In the early days of the world, the Almighty said to the first of our race “In the sweat of thy face shalt thou eat bread”; and since then, if we except the light and the air of heaven, no good thing has been, or can be enjoyed by us, without having first cost labour.
    Abraham Lincoln (1809–1865)

    Like cellulite creams or hair-loss tonics, capital punishment is one of those panaceas that isn’t. Only it costs a whole lot more.
    Anna Quindlen (b. 1952)