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:

    “Those words freedom and opportunity do not mean a license to climb upwards by pushing other people down. Any paternalistic system that tries to provide for security for everyone from above only calls for an impossible task and a regimentation utterly uncongenial to the spirit of our people.”
    —Franklin D. Roosevelt (1882–1945)

    “Greeting people doesn’t cost you anything except a roll of your tongue.”
    —Chinese proverb.

    “It is a capital mistake to theorize before one has data.”
    —Sir Arthur Conan Doyle (1859–1930)