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:

    In the genuine hope that this peace will be permanent, we take the opportunity to pay homage to all our fighters, commandos and volunteers who have paid the supreme sacrifice. They did not die in vain. The union is safe.
    —Combined Loyalist Military Command. New York Times, p. A12 (October 14, 1994)

    Mining today is an affair of mathematics, of finance, of the latest in engineering skill. Cautious men behind polished desks in San Francisco figure out in advance the amount of metal to a cubic yard, the number of yards washed a day, the cost of each operation. They have no need of grubstakes.
    Merle Colby, U.S. public relief program (1935-1943)

    There exists, between people in love, a kind of capital held by each. This is not just a stock of affects or pleasure, but also the possibility of playing double or quits with the share you hold in the other’s heart.
    Jean Baudrillard (b. 1929)