Which term refers to the fact that economists believe that individuals respond in a predictable way to changes in costs and benefits?
A) opportunity cost
B) demand
C) rational behaviour
D) scarcity

Question

Which term refers to the fact that economists believe that individuals respond in a predictable way to changes in costs and benefits?  
A) opportunity cost 
B) demand 
C) rational behaviour 
D) scarcity

Quizplus · Accepted Answer

Rational behaviour is the term used to refer to the belief that individual economic agents, such as consumers or producers, make decisions based on rational calculations of costs and benefits. This assumption is a key aspect of traditional economic theory.

Which Term Refers to the Fact That Economists Believe That