Quick answer
Reputation outprices wealth. Given the choice, and life keeps offering it, take the good name over the great riches. A name is the one asset that spends everywhere and cannot be bought back once sold.
Read both lines
Both lines run the same market comparison: a good name against great riches, loving favor against silver and gold. "Is to be chosen" makes this purchasing advice, for the moments when the two are really on the same shelf: the profitable move that costs reputation, the shortcut that saves money and spends trust. The sages' arithmetic is long-term. Riches can change hands overnight, famously growing wings (23:5); a name travels ahead of you and often reaches your children before they enter the room. The book has priced things this way before (3:15, 16:8), and this verse completes the set: what people rightly call you outranks what you manage to collect.
Related: Proverbs 10:7 · Proverbs 16:8 · Ecclesiastes 7:1
New King James Version®, Copyright © 1982, Thomas Nelson. All rights reserved. Full copyright information. Scripture provided by API.Bible.
Go Deeper
If this verse has been used to put weight on you that it was never carrying, ask about it directly.