For economists trying to determine peoples' preferences,observing how people act is more important than what people say in surveys.

Question

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Economists prefer to use revealed preferences (observing how people actually behave when making choices) over stated preferences (what people say they will do in a survey) because actions can better reveal true preferences and trade-offs, while surveys might be influenced by social desirability bias or misinformation.

For Economists Trying to Determine Peoples' Preferences,observing How People Act