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Which of the following concepts do economists focus their study on when explaining how humans behave?

A) Microeconomics
B) Psychology
C) Sociology
D) Incentives

User Klimat
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Final answer:

Economists focus on incentives to understand human behavior, utilizing microeconomics to study the decision-making processes of individuals and firms within budget constraints.

Step-by-step explanation:

When economists focus their study on how humans behave, they particularly look at incentives. Economists study incentives because they are fundamental in understanding why individuals and firms make certain decisions. Microeconomics plays a significant role in this as it seeks to understand the behavior of individual economic agents like individuals and businesses through choices made within budget constraints. The goal for consumers is often to maximize total utility, or satisfaction, given their budget constraint, meaning that they strive to get the most for their limited budget.

User Spartan
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