When Economists Say That People Choose Rationally, This Means

question 26

Multiple Choice

When economists say that people choose rationally, this means

• A) they gather all relevant information before making their purchases
• B) once a pattern of behavior has been established, people tend to become set in their ways
• C) people respond in predictable ways to changes in costs and benefits
• D) people rarely make errors when they are permitted to make transactions
• E) once made, decisions are never reversed

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