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Consider the following situations. Which ones appear to represent rational decision making? Explain.
(a) Joe's best friend has decided to become a civil engineer, so Joe has decided that he will also become a civil engineer.
(b) Jill needs to get to the university from her home. She bought a car and now drives to the university each day. When Jim asks her why she didn't buy a bicycle instead, she replies, "Gee, I never thought of that."
(c) Don needed a wrench to replace the spark plugs in his car. He went to the local automobile supply store and bought the cheapest one they had. It broke before he had finished replacing all the spark plugs in his car.
This document contains various important questions and their appropriate answers in the subject field of Economics.
Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.
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