Topics
Rational Decision Making
The idea of rational decision making is based on the assumption that people make decisions based on their own self-interest, and they seek to maximize the benefits that they receive from their decisions. This assumes that people act in a rational and self-interested way, taking into account the costs and benefits of their actions. In other words, people will choose to do something only if the benefits are greater than the costs. Now, it's important to keep in mind that the idea of rational decision making is an assumption that economists make when modeling human behavior. It's not meant to reflect how people actually behave in real life.
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1.2.1 Rational Decision Making (Edexcel)
Study Notes