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:
“All that remains to the mother in modern consumer society is the role of scapegoat; psychoanalysis uses huge amounts of money and time to persuade analysands to foist their problems on to the absent mother, who has no opportunity to utter a word in her own defence. Hostility to the mother in our societies is an index of mental health.”
—Germaine Greer (b. 1939)
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—Walter Bagehot (1826–1877)
“Oh, a capital ship for an ocean trip,
Was the Walloping Window Blind;
No gale that blew dismayed her crew
Or troubled the captain’s mind.”
—Charles Edward Carryl (1841–1920)