Suppose an agent values the future but cannot accurately predict it.What is this called?
A) rational choice
B) Pareto efficiency
C) marginal revenue
D) bounded rationality
E) new institutional economics

Question

Quizplus · Accepted Answer

This is called bounded rationality, which refers to the limitations agents face in their ability to gather and process information to make decisions. In this case, the agent values the future but cannot accurately predict it, which is a common example of bounded rationality.

Suppose an Agent Values the Future but Cannot Accurately Predict