Final answer:
Traditional consumer theory does not account for habitual or non-health related behavior, often assuming rational decision-making.
Step-by-step explanation:
The theory that does not take into account behavior that is habitual or that is performed for non-health related reasons is traditional consumer theory in economics.
Traditional consumer theory often assumes that individuals make rational choices that are solely based on optimizing utility, meaning they try to get the most benefit or satisfaction from their decisions.
However, this approach can be limited because it does not consider the impact of non-rational factors such as emotions, cognitive biases, or habitual behaviors.
Behavioral economics is an alternative framework that attempts to incorporate these psychological insights into economic models of consumer choice.
It recognizes that humans often engage in behavior that traditional models would consider irrational. For instance, people might overvalue a lost dollar compared to a gained dollar, and might make decisions that serve immediate emotional needs rather than long-term health benefits.
Thus, behavioral economics enriches the understanding of human behavior by accounting for the complex factors that influence decision-making, including those related to health.