Behavioral economic theories are developed based on the following, except

A) assuming that people always make rational decisions and choices.
B) observing people's actual behavior, including irrational behavior.
C) trying to explain people's tendency to make systematic errors in certain situations.
D) dropping the neoclassical assumption that people are fundamentally rational.

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Sisisidi Didodkd · Accepted Answer

Final Answer : A, Explanation :  Behavioral economic theories often challenge the assumption that people always make rational decisions and choices, which is a cornerstone of classical economic theories. Instead, behavioral economics focuses on how actual human behavior deviates from these rational models, including the impact of psychological, cognitive, emotional, cultural, and social factors on economic decisions.

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