The First Step in the Rational Model of Decision Making

question 43

Multiple Choice

The first step in the rational model of decision making is to:

• A) decide whether to optimize or satisfy.
• B) generate alternatives.
• C) evaluate the restrictions and resources.
• D) consider the personal characteristics.
• E) identify the opportunity.

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Definitions:

Market Price

The current price at which an asset or service can be bought or sold, determined by the supply and demand dynamics in the open market.

Conservation

The careful management and preservation of natural resources to prevent waste, degradation, or loss.

Cost-Benefit Analysis

A systematic approach to estimating the strengths and weaknesses of alternatives used to determine the best option(s) through the benefits and costs.

Resource Extraction

The process of removing natural resources from the environment for human use.