Which of the following is a behavioral implication of bounded rationality?

A) unbounded selfishness
B) a rule of thumb
C) a rational mistake
D) a nervous breakdown


Answer: B

Economics

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a. True b. False

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The accompanying figure shows the production possibilities curve for the island of Genovia: The opportunity cost of producing a car in Genovia is:

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When the Fed sells a security to a financial firm and the Fed agrees to buy back the security the next day, the transaction is known as

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