The four elements of the economic way of thinking include all of the following EXCEPT
A) economists use assumptions to make things simpler and focus attention on what really matters.
B) economic analysis often involves variables and how they affect one another.
C) economic analysis assumes that people act irrationally and that they are not motivated by self-interest.
D) economists often consider how a small change in one variable affects another variable.

Question

Quizplus · Accepted Answer

The economic way of thinking assumes that people act rationally and are motivated by self-interest, not that they act irrationally. Therefore, choice C is the exception.

The Four Elements of the Economic Way of Thinking Include