Microeconomics
2nd Edition
ISBN: 9780073375854
Author: B. Douglas Bernheim, Michael Whinston
Publisher: MCGRAW-HILL HIGHER EDUCATION
expand_more
expand_more
format_list_bulleted
Question
Chapter 1, Problem 6DQ
To determine
Explain whether the assumption “people motivated by material self-interest” is always, usually, sometimes, rarely, or never a good one.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Political biases have no impact on an economist’s opinions? True or False
Discuss the impact of rational self-interest on each of the following decisions:
a. Whether to attend college full time or enter the workforce full time.
b. Whether to buy a new textbook or a used one.
c. Whether to attend a local college or out of town college.
Why does knowing the facts help people maximize their choices
Knowledge Booster
Similar questions
- In economics, we assume that choices are based on desired outcomes. This concept is known as:arrow_forwardAccording to the "Scientific Method," what is the economics profession expected to do? Multiple Choice Test various hypothesis and theories against the real world. Observe real world behavior and outcomes. Try to find the cause and effect of variables. All of the choices are correct.arrow_forwardWhat type of economists believe that markets naturally self-correct, and will reward good strategies and punish bad ones?arrow_forward
- Economics helps managers understand goal-oriented decision making.arrow_forwardWhich of the following would be the least likely thing an economist would study? What new platforms are teens and young adults using to download music and movies? What is the effectiveness of a new $50 million government campaign to keep teens from vaping? What types of movies do children like to watch in the summer? What are the health effects of new energy drinks on young consumers?arrow_forwardWatch on YouTube Questions: A) Detail and describe a decision that you made in the past that contradicts the assumption of rationality in standard economic theory? How and why was it irrational according to standard economic theory?arrow_forward
- A central idea of economics is that by observing changes in ________, we can predict how choices change. enticements motivation incentives inducementarrow_forwardWhich scenario illustrates initiative as a motivator for behavior change? José notices that he doesn’t feel well when he drinks milk, so he eliminates milk from his diet. Alan’s girlfriend will buy him a new shirt if he stops using chewing tobacco. Gretchen thinks about how happy her doctor will be when he hears that she has been exercising regularly. Mike decides to take boxing lessons so that he can defend himself from bullies.arrow_forwardIn economics, rationality means that choices must be made generally the same among individuals. 1) True 2) Falsearrow_forward
- Why will economics never be an exact science? No sciences are exact. It studies the actions of people, and human behavior is very hard to predict. You may not conduct experiments on people. It is a physical science, and physical sciences are usually not exact.arrow_forwardA model of saintlihood and altruism, when Mother Teresa accepted the Nobel Prize for Peace in October 1979 and decided to use the $190000 award to build a hospital for the treatment of people with leprosy, was she acting in her own interests? was she behaving selfishly? was she economizing?arrow_forwardIn what ways do human decision making differ from rational conventional economic theoryarrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
Exploring EconomicsEconomicsISBN:9781544336329Author:Robert L. SextonPublisher:SAGE Publications, Inc
Economics (MindTap Course List)EconomicsISBN:9781337617383Author:Roger A. ArnoldPublisher:Cengage Learning
Exploring Economics
Economics
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:SAGE Publications, Inc
Economics (MindTap Course List)
Economics
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Cengage Learning