Prospect theory and self-justification are the main causes of satisficing

Question

Quizplus · Accepted Answer

Satisficing is primarily caused by bounded rationality, where individuals settle for a satisfactory option rather than the optimal one due to limitations in information, time, and cognitive resources. Prospect theory explains how people make decisions under risk, focusing on gains and losses rather than final outcomes, and self-justification is a cognitive process where individuals rationalize their decisions or actions to avoid cognitive dissonance, neither directly causes satisficing.

Prospect Theory and Self-Justification Are the Main Causes of Satisficing