"Because people face trade-offs, making decisions requires comparing the costs and benefits of alternative courses of action. In many cases, however, the cost of an action is not as obvious as it might first appear. […] The opportunity cost of an item is what you give up to get that item. When making any decision, decision makers should be aware of the opportunity costs that accompany each possible action. In fact, they usually are. College athletes who can earn millions if they drop out of school and play professional sports are well aware that their opportunity cost of college is very high. It is not surprising that they often decide that the benefit of a college education is not worth the cost."
Quote Details
Added by wikiquote-import-bot
Unverified quote
0 likes
Original Language: English
Available Languages (1)
Sources
N. Gregory Mankiw, Principle of Economics (6th ed., 2012), Ch. 1. Ten Principles of Economics.
https://en.wikiquote.org/wiki/Opportunity_cost
Revision History
No revisions have been submitted for this quote.
Categories
Opportunity cost
5 quotes on TrueQuotesView all quotes by Opportunity cost →
Related Quotes
"How much do you think it costs to go to college? Most people are likely to answer by adding together their expenditur…"
"Only give up a thing when you want some other condition so much that the thing no longer has any attraction for you, …"
"There ain't no such thing as a free lunch."
"If the economy is producing efficiently, scarcity values must be equal to opportunity costs, and their common value i…"
"Currency devaluations stimulated recovery in two ways: allowing nominal interest rates to fall and, so long as people…"
"This ground-plan, conceived by a great architect, exhibits a fundamental metaphysical dualism in Plato’s thought. ...…"
"We are called upon in this case to decide whether under the Investment Advisers Act of 1940 [1] the Securities and Ex…"
"Once upon a time, capital gains were not taxable in Canada. But the federal government instituted a tax on capital ga…"
"These cases present the same question, that is, whether under the Revenue Act of 1934, 26 U.S.C.A. Int.Rev.Acts, page…"
"The boycott, as Gandhi taught, is the most nearly perfect instrument for nonviolent change, allowing masses of people…"