Trinh quits his $80 000-a-year job to become a full-time volunteer at a museum.The opportunity cost of his decision is:

Question

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The opportunity cost is the value of the next best alternative that Trinh forgoes by choosing to become a full-time volunteer at a museum instead of working at his $80 000-a-year job. The best estimate of this value is at least $80 000 since it represents the income he would have earned if he had continued with his job. Therefore, option C is the most appropriate choice. Option A is incorrect because even though he will no longer be earning a salary, he still has an opportunity cost. Option B is incorrect because the going rate of museum employees is irrelevant to calculating the opportunity cost. Option D is incorrect because the joy of working at a museum is a subjective benefit and not an economic cost.

Trinh Quits His $80 000-A-Year Job to Become a Full-Time