Economic Analysis Is Based on the Premise That

question 198

Multiple Choice

Economic analysis is based on the premise that

• A) people act only out of selfish motives.
• B) people are always fully informed when making choices.
• C) changes in the personal benefits or costs of an action influence behavior in a predictable way.
• D) most human behavior is unpredictable.

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Definitions:

Homophily

The tendency of individuals to associate and bond with similar others, often leading to social and economic networks characterized by high degrees of similarity in beliefs, values, and social status.

Multiracial

Describing individuals or groups composed of or identifying with more than one racial background.

Lutheran Church

A major branch of Protestant Christianity, which identifies with the theology of Martin Luther, a 16th-century German reformer, known for its emphasis on justification by faith alone.

Digital Divide

The disparity between people who can use contemporary information and communication technology and those who lack this access.