QuestionJuly 18, 2025

Which of the following is not one of the four principles of individual decision making? A People face trade-offs. B Trade can make everyone better off. C People respond to incentives. D ) Rational people think at themargin.

Which of the following is not one of the four principles of individual decision making? A People face trade-offs. B Trade can make everyone better off. C People respond to incentives. D ) Rational people think at themargin.
Which of the following is not one of the four principles of individual decision making?
A People face trade-offs.
B Trade can make everyone better off.
C People respond to incentives.
D ) Rational people think at themargin.

Solution
4.1(300 votes)

Answer

B Trade can make everyone better off. Explanation The four principles of individual decision making include facing trade-offs, responding to incentives, and thinking at the margin. The statement about trade making everyone better off pertains more to economic interactions rather than individual decision-making principles.

Explanation

The four principles of individual decision making include facing trade-offs, responding to incentives, and thinking at the margin. The statement about trade making everyone better off pertains more to economic interactions rather than individual decision-making principles.
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