OfTheCross
Veteran
The old goes...every time you say "yes" you're saying "no" to something else...
www.lifehack.org
In the field of economics, opportunity cost is the value that you have to forgo when you choose an option over another good option.
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Opportunity cost matters not only in economics but also in real life. It is what you are giving up to get something.
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There are lots of hidden costs that opportunities can have, and every decision has a cost. The cost could either be direct or indirect.
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For example, Netflix doesn’t cost you $17.99, it actually costs your time; social media isn’t free, it costs your focus; and a fast-food combo meal doesn’t just cost you $3.99, it costs your health.
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Opportunity Cost = What You Give Up / What You Gain
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Opportunity Cost = Revenue – Economic Profit
What Is Opportunity Cost And How to Calculate It?
Opportunity cost is a concept that applies in many situations. Understanding how to use it will boost your productivity.
www.lifehack.org
TL;DR
In the field of economics, opportunity cost is the value that you have to forgo when you choose an option over another good option.
❯
Opportunity cost matters not only in economics but also in real life. It is what you are giving up to get something.
❯
There are lots of hidden costs that opportunities can have, and every decision has a cost. The cost could either be direct or indirect.
❯
For example, Netflix doesn’t cost you $17.99, it actually costs your time; social media isn’t free, it costs your focus; and a fast-food combo meal doesn’t just cost you $3.99, it costs your health.
❯
Opportunity Cost = What You Give Up / What You Gain
❯
Opportunity Cost = Revenue – Economic Profit