The concept of bounded rationality suggests that we are likely to
A) choose the first acceptable alternative.
B) evaluate all alternatives simultaneously.
C) pick the alternative that minimizes value.
D) use accurate information to evaluate alternatives.
E) develop an exhaustive list of alternatives to consider as solutions.

Question

Quizplus · Accepted Answer

Bounded rationality is the notion that decision makers simply do not have the ability or resources to process all available information and alternatives to make an optimal decision. Bounded rationality says that we are likely to pick the first acceptable alternative (satisficing).

The Concept of Bounded Rationality Suggests That We Are Likely