The assumption of rational self-interest means that economic decision makers
A)have no concern for the welfare of others
B)consider the welfare of others to be more important than their own happiness
C)know with certainty which choice will have the best result
D)make reasonable decisions based on their expectations of results
E)do not make incorrect decisions or bad choices

Question

Quizplus · Accepted Answer

The assumption of rational self-interest means that economic decision makers make reasonable decisions based on their expectations of results. They take into account their own happiness or satisfaction as well as the potential costs and benefits of their choices. However, these decisions may not always be correct or lead to the best outcomes.

The Assumption of Rational Self-Interest Means That Economic Decision Makers