Sentences with phrase «opportunity cost»

Opportunity cost refers to the value of the next best alternative given up when making a choice. It represents what you have to sacrifice or miss out on when you choose one option over another. In simpler words, it is the cost of not choosing an alternative option. Full definition
You'd probably end up still at a loss even after your account is at break even considering opportunity cost of your time invested.
A lot of opportunity cost for not a lot of status.
I'm not selling it either so that I can walk because I'm losing opportunity cost on owning the van.
I think a bond ladder w / individual bonds helps but that really just makes it about opportunity cost if rates do rise.
It also takes into account something known as opportunity cost — for example, the return you could have earned by investing your money instead of spending it on a down payment.
As for valuation, it's all based on opportunity costs.
And there's such huge opportunity costs associated with the time teachers put into studying student data, and the time kids spend taking benchmark assessments and the like.
Finally, to end our whole life insurance cons list, we have to consider opportunity costs.
Not only is this a colossal waste of time and money, but there is a huge opportunity cost.
My analysis focuses on demonstrating the likely maintenance of the status quo without large - scale war given present circumstances, as well as the high opportunity cost of this outcome.
These types of attitudes can lead to significant opportunity costs by eliminating a full 50 % of potential traders.
While some students might benefit from an AP program, several researchers note some hidden or opportunity costs involved in administering an AP program.
The lesson looks at opportunity cost and includes a nice task on this topic.
Consider these types of opportunity costs when you are deciding on the order to pay off your debts.
The issue is really one of cost — purchase price for the library and opportunity cost from lost sales for the publishers and authors.
Silver is reliant on low opportunity costs to drive investment.
Factor in fees and taxes on capital gains and it turns into an expensive proposition — never mind the potential opportunity costs if markets go up instead of down.
A less - than - perfect resume may not just cost you the job you want, but a huge amount of money in missed opportunity costs over your long term career.
Preparing your employees for change should include explaining the rationale behind it — and the risk or potential opportunity cost of not changing.
Then there's the so called opportunity cost — maybe you could have been doing something more productive with your time.
The lesson is particularly good at building pupils ability to analyze all areas of economics critically and really understanding the concept of opportunity cost too.
In my case, I had certain investing rules that probably raised opportunity costs and reduced returns.
But there's also a massive opportunity cost most companies overlook.
You should always examine opportunity costs and weigh if your spend could be better utilized on a different card.
Likewise, individuals weigh personal opportunity costs in everyday life, and these often include as many implicit costs as explicit.
These traders also tend to sell winning positions too early, resulting in potentially large opportunity costs.
Would be nice to mention opportunity cost, i.e., what if real estate in the local area is overpriced, and there are better opportunities in equities.
That short story that you used to squeeze out free of charge for a charity anthology now represents real opportunity costs that are measured in real dollars.
Opportunity cost analysis also plays a crucial role in determining a business's capital structure.
The average age of students is 36, and most students work while they are taking classes, thereby saving on the substantial opportunity costs of earning a teaching degree.
Opportunity cost describes the returns that could have been earned if the money was invested in another instrument.
All the while they ignore the enormous opportunity cost of doing nothing.
«There's this significant opportunity cost of the time people spend driving,» he says.
Being in debt means opportunity cost — think of where that money could have gone!
In the above opportunity cost example there's a twist — sometimes you are given a chance at picking between sign ups.
Much of this reality centers on rising opportunity costs, both with other venture investment opportunities and other asset classes.
But for anyone who values their time, there are significant additional opportunity costs.
Exactly right not going in and out of the market helps minimize opportunity cost while keeping your investing strategy on simple auto pilot.
However, you can lose money in this strategy due to the possible opportunity cost from this trade.
It also analyzes opportunity cost — the loss of any potential gain from other alternative options.
The time it would take me to become competent — not to mention the competitive nature of manufacturing — was a seemingly gigantic opportunity cost.
The security that comes from working for someone else has several opportunity costs, including the potential to become an entrepreneur and control your own destiny.
Fear: Opportunity costs Starting your own business is risky; that much is obvious.
Last year debt interest charges alone were $ 26 billion, which represents a considerable opportunity cost.
However, assuming rates do rise over the intermediate to long - term, there can be tremendous opportunity cost in owning bonds with low coupons and lengthy maturity.
The actual opportunity cost of choosing this option is 10 % - 0 %, or 10 %.
Trying to force the action by spending more than we get in return has some pretty severe opportunity costs.
Not only do online degrees generally charge lower tuition than traditional programs, but they also have limited opportunity costs.
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