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What are the two main building blocks for traditional economists? How do they differ from the building blocks of behavioral economists? LO1

    What are the two main building blocks for traditional economists? How do they differ from the building blocks of behavioral economists? LO1

Macroeconomics

David Colander 8th Edition

Chapter 6, Problem 3

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Traditional economists primarily rely on two fundamental assumptions or building blocks: rationality and self-interest. Rationality assumes that individuals have stable preferences and can make consistent, coherent choices that maximize their utility. Show more…

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What are the two main building blocks for traditional economists? How do they differ from the building blocks of behavioral economists? LO1

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