Rational Behavior

question 74

Multiple Choice

Rational behavior

• A) means incentives don't matter.
• B) requires people to consider the total costs and total benefits of their decisions.
• C) requires thinking at the margin.
• D) requires perfect information.

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Definitions:

Secondary labour market

Refers to low-paying, insecure jobs with poor working conditions and limited opportunities for promotion, often contrasted with primary labour market positions that offer higher wages and job security.

Professions

Prestigious occupations that require specialized knowledge and are regulated by a governing body.

Milpa

A traditional Mesoamerican agricultural system that involves the cultivation of maize, beans, squash, and other crops in a rotating cycle, promoting biodiversity and soil health.

Shifting cultivation

An agricultural practice in which plots of land are cultivated temporarily, then abandoned and allowed to revert to their natural vegetation while the cultivator moves on to another plot.