apartment website developer


(apartment website developer)Please imagine the following situation:

(apartment website developer)1,Xiao Ming is a freelance web developer who decides to renovate her apartment herself,instead of flowers1000Yuan hires decoration team。He's going to spend two weeks doing this。

2,A respected and excellent baker Xiaobai quits his job,Opened his own bakery。This will allow him to earn in his first year of business60000Yuan。

3,just after new year's eve,little safflower1000Yuan bought some discounted fireworks。he keeps them at home,one year later1030sale for yuan。

apartment website developer

on the surface,Each of these people seems to have profited。Xiao Ming saved1000Yuan,Baker Xiaobai earns60000Yuan,little red3%profit from the sale of fireworks。but,Let's look at this from another angle。

1,Because of the decision to fix his apartment by himself,Xiao Ming gave up a job developing a website for a large company。if he accepts the job,He will finish and earn in two weeks3000Yuan。He spends his time renovating his apartment,Deprived of the opportunity to make money。If he chooses to hire a renovation team,Although having to1000Hire a team at a price of $,In the end he still had2000Yuan。

2,Self-employed baker Xiaobai previously worked in a large bakery。there,he earns monthly10000Yuan,equivalent to an annual120000Yuan。work by yourself,He can only earn60000Yuan,Therefore, by choosing to start a business,He loses the extra money earned every year60000Yuan chance。and,He gave up the security of a full-time job,Operating the business at your own risk,i.e. taking the risk of losing the invested capital on the one hand,On the other hand take on additional pressure。

3,Xiaohong made money selling fireworks3%profit。buy fireworks instead,He could have deposited the money in an annual interest rate of5%savings account,So he can make a net profit in a year50Yuan。He also lost his time and storage space at home。

apartment website developer

(apartment website developer)

(apartment website developer)So let's look at the concept of opportunity cost,the cost of forgone opportunity。Economists define this concept in a number of ways:robert·According to Dr. Murphy, the opportunity cost is“The subjective value of the next best alternative that must be sacrificed due to choice”while William.Dr McElhern thinks“Opportunity cost is a subjective idea。Only individual selectors can estimate the expected value of the best choice。In fact,We rarely know the actual value of abandoned alternatives,because by definition,The lost opportunity is“road not taken”。

Everyone's decision has a cost。This is because people cannot act in two different ways at the same time,So they have to choose between actions。finally,they only have one body,two hands,cannot be in two places at the same time。also,The resources people use are limited or scarce。One must constantly decide whether the value of the chosen option outweighs the value of the rejected option,cost。

In the above example,On the economic front,Each of them suffered financial losses。If people's only motive is money,We'd say they each lost。However,Such an assumption is wrong,Because people are not just driven by money。We call another non-monetary subjective benefit from action the psychological benefit。

(apartment website developer)

Let's go back to our example again。

1,Xiao Ming likes to do manual labor at home。He revels in the deep satisfaction that comes from doing something by himself。He likes the idea too,He can tell his friends to visit him,He did the whole renovation himself。He wants their compliments to have a positive effect on his happiness。,

2,Baker Xiaobai disliked his former job very much。He is frustrated with his boss,They ignored many of his ideas for new products。He also doesn't like taking orders。By building your own bakery,He gained the independence he longed for。It is worth noting that,If a baker succeeds in growing his business,He can also earn monetary profits。another year or two,He could earn twice what he used to earn in his previous full-time job。,

3,Xiaohong dislikes and does not trust banks。he started to think,if he put money in a savings account,he'll never get it back。if he chooses to save,he will always worry。So to reduce your stress,He chooses to invest in fireworks,reassure yourself。

apartment website developer

(apartment website developer)

Our roles may subjectively judge that the sum of monetary and psychological profit is greater than opportunity cost。But people are very different。they enjoy very different things,and can value the things they give up in different ways。Only those who make the choice know whether they gain or lose in the process。There is no way to judge this objectively,or outside the mind of the person making the decision。However,We know the moment we put our choices into action,Humans subjectively place more value on the options they choose,rather than opportunity cost。But in hindsight it may be revealed that reality is different from expectations。under these circumstances,People may regret the action because of subjective loss。

We are also convinced,Every action has a price。when a man chooses to go to a certain restaurant,He just passed up the chance to go to another restaurant。When a company invests in financial instruments,It would give up buying new equipment for its factory floors。So each choice should not only consider the current benefits,Also consider the opportunities lost as a result。