Which of the following assumptions would be made by a behavioural economist?
A) those that make economic models more complex than if these assumptions were removed
B) those that pertain only to consumers
C) those that are ways to test a hypothesis
D) those which describe how individuals are expected to conduct themselves

Question

Which of the following assumptions would be made by a behavioural economist?  
A) those that make economic models more complex than if these assumptions were removed 
B) those that pertain only to consumers 
C) those that are ways to test a hypothesis 
D) those which describe how individuals are expected to conduct themselves

Quizplus · Accepted Answer

Behavioral economists focus on understanding how individuals actually make decisions and behave in real-world situations, rather than relying on assumptions about how people "should" behave according to traditional economic models. Therefore, the assumptions that would be most relevant to a behavioral economist are those that describe how individuals are expected to conduct themselves. Choice D best fits this description.

Which of the Following Assumptions Would Be Made by a Behavioural