Question

Economic analysis assumes that

Select one:
a. people are basically altruistic, and their actions are, therefore, impossible to predict.

b. changes in the personal benefits and costs associated with a choice will exert a predictable influence on human behavior.

c. although individuals a
d. individuals act only out of selfish motives.
are at times selfish and at times altruistic, only their selfish actions may be predicted.

Answer 1

a. people are basically altruistic, and their actions are, therefore, impossible to predict.

Answer 2

d. people act only out of selfish motives