Behavioral scientists are cautious about applying classical decision theory to many decision situations because they recognize that human beings have __________ limitations that restrict their information-processing capabilities.
A) sociological
B) cognitive
C) subjective
D) emotional
E) psychological

Question

Quizplus · Accepted Answer

Classical decision theory assumes that decision-makers have unlimited information-processing capabilities, which is not the case for humans. Behavioral scientists recognize that cognitive limitations, such as bounded rationality and limited attention and memory, can affect decision-making.

Behavioral Scientists Are Cautious About Applying Classical Decision Theory to Many