An opportunity cost is what you give up when you choose one thing over another. Considering all the long-term benefits of the path you aren’t choosing helps people see that every real-world choice comes with a cost—all the value you are not choosing. Once we see these values side by side—the value of our first choice compared to the value of our next best alternative—we can begin to decide which trade-off we are going to make.
Just because opportunity cost exists doesn’t mean we should see our decisions in a negative light. If the benefits of the path you chose outweigh the opportunity cost, then you’ve made a great decision because the net gain is positive. Help a friend move or stay home and do your own chores.
Watch a TV show or pick up a book. Call a parent while you’re on a walk or listen to a podcast. Eat a cookie or a piece of fruit.
Put an item back where it belongs or leave it on the counter. Buy something newer and better or be content with what you have. Respond in anger or respond with patience.
One thing that’s helped me is realizing that these decisions are never made in isolation. When you choose the path of indulgence, impatience, or selfishness one day, it makes it easier to do the same in the future. You’re not just saying no to a friend today—you’re weakening the value and closeness of that friendship.
You’re not just watching one TV show—you’re passing up the chance to develop intellectually. You’re not just skipping one call .