John has an economics test tomorrow. He must study and has planned the rest of his day so that he can fit some study time in. He has decided to go to the gym and then study for several hours. Which of the following statements is true? John's decision on how to allocate his time is inconsistent with the rationality assumption since he has decided to go to the gym. John did not use the economic way of thinking because his decision on how to allocate his time did not involve money. John's decision on how to allocate his time is consistent with the rationality assumption since the decision is intended to make him better off. John's decision does not involve his pursuit of self-interest

John has an economics test tomorrow. He must study and has planned the rest of his day so that he can fit some study time in. He has decided to go to the gym and then study for several hours. Which of the following statements is true? John's decision on how to allocate his time is inconsistent with the rationality assumption since he has decided to go to the gym. John did not use the economic way of thinking because his decision on how to allocate his time did not involve money. John's decision on how to allocate his time is consistent with the rationality assumption since the decision is intended to make him better off. John's decision does not involve his pursuit of self-interest

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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