Friday, May 11, 2012

Opportunity Costs

I hope you didn't forget about me in my absence. I understand it has been a while, but that is no reason to just go on move on with your life. If you have forgot about me, well let me reintroduce myself.

My name is Anne Katherine, but most people call me AK.

Yes, like the gun.

Oh, like AK is AKA for Anne Katherine? You are so original! *condescending tone*

All sarcasm being set aside, I've had both of those conversations probably one hundred times over the last couple of weeks. It truly inspires me how predictable the first minute of conversation will go with someone I haven't met yet.

But that isn't my inspiration of the night! That would be a lame thing to base the entirety of this post about. No, no, tonight's topic is opportunity cost.

If you don't want to feel a little nerded out by the end of this, now would be a good time to stop reading.

Opportunity cost is a beautiful thing. Everyone thinks in terms of it, but few people realize it. For example: Let us say AK needs to go to the grocery store because she only has one solitary can of Cream of Mushroom soup in her cupboard. She is about to get her amazing and beautiful roommate Ellen to take her to the Creams when all of a sudden, Zac Efron calls AK and asks her if she would like to go to dinner with him. She can either pay for food for the week and have something to eat, or she can go on a date with one of the most beautiful people in the world. Whatever she gives up is the opportunity cost of the situation.

Sadly, this is not a true story.

People, however, are constantly faced with decisions. Do I nap or study? Do I run or eat cookies? Do I run and eat cookies, but not do my homework? Every decision brings some sort of opportunity cost.

At this point of the post, you may be asking why giving something up in every decision made is inspiring. Let me tell you. Humans possess the innate ability to measure the worth of goods or activities in their head. Imagine if I had been hypothetically faced with having to decide whether to go grocery shopping or on a date with Zac Efron without being able to measure which one I found more valuable! The capability to decide what one prefers in a given situation is something I am finding more and more incredible. Agency is a beautiful thing. Opinions are a beautiful thing. Arguments can be a beautiful thing, as a long as Newt Gingrich and his fallible logic is far away from them. I love the ability to look at a choice I have to make, measure the opportunity cost each prospect will incur, and then make a decision.

It is simple, I know. But sometimes it is worth taking the time to stop and smell the roses and appreciate the little things in life. Before you take the time to do so, however, you better think about what the opportunity cost will be.


P.S. Zac Efron is always the right answer.