Behavioral economists view the standard economic theory of decisions involving time as being too restrictive because people have
A) Lapses in self-control
B) Perfect foresight
C) A tendency to ignore sunk costs
D) Budget constraint

Question

Quizplus · Accepted Answer

Behavioral economists recognize that people often struggle with self-control and have difficulty making decisions that maximize their long-term well-being, even when they know what they should do. This can lead to impulsive choices, such as choosing immediate gratification over long-term rewards, which are not adequately captured by the standard economic model.

Behavioral Economists View the Standard Economic Theory of Decisions Involving