opportunity cost

American  

[op-er-too-ni-tee kawst] / ˌɒp ərˈtu nɪ ti ˌkɔst /

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.

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opportunity cost British  

noun

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

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Etymology

Origin of opportunity cost

First recorded in 1910–15

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Compare meaning

How does opportunity-cost compare to similar and commonly confused words? Explore the most common comparisons:

• trade-off vs. opportunity cost

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Example Sentences

See Examples For:

opportunity cost

The opportunity cost of doing that is high.

From MarketWatch ● Oct. 2, 2026

Gold seems to be caught between its traditional safe-haven role and the rising opportunity cost created by higher oil prices and tighter monetary-policy expectations, said Priyanka Sachdeva, head of market insights at Phillip Nova.

From The Wall Street Journal ● Sep. 16, 2026

Those who refuse to play pay a high price in short-term opportunity cost, but win in the long run.

From The Wall Street Journal ● Aug. 28, 2026

“If your wage doesn’t keep up with the rest of the United States,” he said, “then the opportunity cost of staying in Hawaii becomes higher and higher.”

From The Wall Street Journal ● Aug. 20, 2026

If you took $100,000 out of investments and they earned an average 7% annually for 20 years, the opportunity cost would be significant.

From MarketWatch ● Aug. 13, 2026

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