According to economists, economic self-interest
A) is a reality that underlies economic behavior.
B) has the same meaning as selfishness.
C) means that people never make wrong decisions.
D) is usually self-defeating.

Question

Quizplus · Accepted Answer

Economic self-interest is a reality that underlies economic behavior because individuals aim to maximize their own well-being or utility. This means that people are motivated by their own interests when making economic decisions. This is a key assumption in economic models and lays the foundation for understanding how individuals and firms behave in the economy. However, this does not mean that people never make wrong decisions or that economic self-interest always leads to optimal outcomes.

According to Economists, Economic Self-Interest