The term "satisficing" for decision-making behavior by many firms was coined by
A)Milton Friedman.
B)Adam Smith.
C)Herbert Simon.
D)Alan Greenspan.

Question

Quizplus · Accepted Answer

The term "satisficing" was coined by Herbert Simon, who argued that firms seek satisfactory, rather than optimal solutions, when making decisions due to the complexity and uncertainty of the business environment. This behavior is a departure from the assumptions of classical economic theory, which assumes that firms always make rational and optimal decisions.

The Term "Satisficing" for Decision-Making Behavior by Many Firms Was