Course review
Review each learning objective in this topic, then open its concept explanation or question set.
Learning objective
• Rational consumer choice assumes consumer rationality, utility maximization, and perfect information • Behavioural economics critiques these assumptions • Limitations include rule of thumb, anchoring, framing, availability bias, bounded rationality, bounded self-control, bounded selfishness, and imperfect information
Start with the concept explanation, then practise to create mastery evidence.
Learning objective
• Choice architecture includes default, restricted, and mandated choices • Nudge theory uses behavioural insights to influence decisions
Start with the concept explanation, then practise to create mastery evidence.
Learning objective
• Firms may pursue profit maximization • Alternative objectives include corporate social responsibility, market share, satisficing, and growth
Start with the concept explanation, then practise to create mastery evidence.