When Studying Human Behavior, Economists Assume Rational Self-Interest

question 83

Multiple Choice

When studying human behavior, economists assume rational self-interest. This means that:

• A) People make decisions based on some desired outcome
• B) People are quite selfish, and are not concerned about others
• C) People always make the right decisions
• D) People have all the information they need to make a decision

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Definitions:

Suspect Trait

A characteristic or feature in a person that may cause them to be viewed with suspicion or as a potential culprit in a criminal investigation.

Compelling Government Interest

A test of constitutionality that requires the government to have compelling reasons for passing any law that restricts fundamental rights, such as free speech, or distinguishes between people based on a suspect trait.

Federal Form

A standardized document required by a federal agency for specific purposes.

Sovereign Power

The ultimate authority of a state to govern itself or another state, including making and enforcing laws.