opportunity cost

[ op-er-too-ni-tee kawst ]

noun

, Economics.

1. the money or other benefits lost when pursuing a particular course of action instead of a mutually-exclusive alternative:

   The company cannot afford the opportunity cost attached to policy decisions made by the current CEO.

opportunity cost

noun

1. economics the benefit that could have been gained from an alternative use of the same resource

Word History and Origins

Origin of opportunity cost¹

First recorded in 1910–15

Example Sentences

The post-pandemic increase in wages in no way can compensate for the last opportunity cost of a generation of flat or real wage loss that was replaced by predatory consumer credit and student loans.

From Salon

He pinpoints one issue: the new approach had to be "opportunity cost neutral" - in other words, including a wider range of diseases without extra NHS spending.

From BBC

As a loose ball flew up out of a contest between Nwankwo Kanu and Simon Davies, he didn't think about high-value shots or low defensive blocks, opportunity cost or half spaces.

From BBC

“There is opportunity cost to this money ... it doesn’t go to emerging markets where it can finance jobs and business opportunities for American companies.”

From Los Angeles Times

There’s also an opportunity cost, as Trump is losing time to get out in front of swing-state voters.

From Los Angeles Times