Luca and Emma were shopping for their first house. They both felt a little overwhelmed with this task. Emma decided to make a list of the most important features they wanted in a home, narrowing their options to a list of two bedroom homes in the downtown area that include outdoor space. Luca and Emma used ______ rationality to make the decision.

Question

Quizplus · Accepted Answer

Luca and Emma used bounded rationality, which acknowledges that they operate within certain constraints and limitations (such as time, cognitive resources, and available information) when making a decision. By narrowing their options based on specific criteria, they are simplifying the decision-making process in a way that is manageable and practical, which is characteristic of bounded rationality.

Luca and Emma Were Shopping for Their First House