Economists Make Predictions About Individual Behaviour Based on the Assumption

question 195

True/False

Economists make predictions about individual behaviour based on the assumption that people exploit opportunities to make themselves better off.The fact that different individuals make different choices when confronted with the same situation implies that this assumption is often violated.

---

Definitions:

Denial

A mental coping strategy in which a person denies the existence of certain real-life facts, effectively shielding themselves from recognizing external truths.

Interpretation of Stressful Events

The personal cognitive assessment and meaning attributed to situations perceived as challenging or threatening.

Stressful Situation

An event or scenario that causes strain or tension, requiring adaptation or response from the individual.

Emotional Distress

Negative feelings and stress that result from challenging situations, often impacting mental health and well-being.