The Irrationality Behind Rationality

The article unravels the myth behind the theory of rational decision making used in modern-day economics. The conventional economic theory defines rationality as an inherent characteristic of the homo sapiens. In simplistic yet significant terms, this means that any decision taken by us, human beings, are researched intensively and well-calculated ex-ante. So, when you go for grocery shopping, economists assume all that follows. That you know the current market price of all the vegetables and fruits available worldwide. That you have measured the distance from your home to these stores. That you have calculated the expense of fuel to reach…...