Definition of opportunity cost in English:

opportunity cost


  • The loss of potential gain from other alternatives when one alternative is chosen.

    ‘idle cash balances represent an opportunity cost in terms of lost interest’
    • ‘For now, we will assume that the opportunity cost of their time is $5, which now gives them a residual of $5.’
    • ‘As incomes rise and the opportunity cost of performing menial labor changes, fewer people will want to work as servants.’
    • ‘Gold held as reserves by a Central Bank has an opportunity cost.’
    • ‘That's the opportunity cost of domestically produced software.’
    • ‘On the other hand, the lower yield curve also implies a lower opportunity cost of waiting to invest, due to the lower short-term rate.’