The assumption that people do not intentionally make decisions that would leave them worse off is known as
A)the rationality assumption.
B)the microeconomic assumption.
C)the ceteris paribus assumption.
D)the normative assumption.

Question

Quizplus · Accepted Answer

The rationality assumption is the concept that individuals will make decisions that benefit them and not ones which will leave them worse off. This is a basic principle in economics which assumes that people act logically and make decisions based on what they consider to be in their best interest.

The Assumption That People Do Not Intentionally Make Decisions That