Economists generally assume that

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Economists commonly assume that households act to maximize their utility. In other words, individuals make decisions that they believe will bring them the most satisfaction or happiness, given their budget constraints and other factors influencing their choices. This assumption helps explain why people make certain choices about how to allocate their resources, such as how much to save, consume, or invest, based on their preferences and subjective evaluations of different goods and services.

Economists Generally Assume That