Which of the following describes the study of how economic decisions are influenced by psychological factors

Question

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Behavioral economics involves examining how psychological biases and tendencies can impact economic decision-making processes. This approach challenges the traditional notion of rational economic thinking and recognizes that humans often make decisions that are not purely logical or objective. Prospect theory is a specific theory within behavioral economics that describes how people evaluate uncertain outcomes and make decisions based on the potential for gains or losses. Rational economic thinking and irrational economic thinking are not relevant or accepted approaches in modern economic research.

Which of the Following Describes the Study of How Economic