Rational Choice Theory

What is Rational Choice Theory

Rational choice theory refers to a set of guidelines that help understand economic and social behaviour. The theory originated in the eighteenth century and can be traced back to the political economist and philosopher Adam Smith. The theory postulates that an individual will perform a cost-benefit analysis to determine whether an option is right for them. It also suggests that an individual's self-driven rational actions will help better the overall economy. Rational choice theory looks at three concepts: rational actors, self interest and the invisible hand.

How you will benefit

(I) Insights, and validations about the following topics:

Chapter 1: Rational choice theory

Chapter 2: Microeconomics

Chapter 3: Neoclassical economics

Chapter 4: Utility

Chapter 5: Public choice

Chapter 6: Bounded rationality

Chapter 7: Homo economicus

Chapter 8: Arrow's impossibility theorem

Chapter 9: Behavioral economics

Chapter 10: Prospect theory

Chapter 11: Consumer choice

Chapter 12: Decision theory

Chapter 13: Structure and agency

Chapter 14: Expected utility hypothesis

Chapter 15: Ellsberg paradox

Chapter 16: Robert Sugden (economist)

Chapter 17: Preference (economics)

Chapter 18: Preference

Chapter 19: Rational choice institutionalism

Chapter 20: Altruism theory of voting

Chapter 21: Formalist-substantivist debate

(II) Answering the public top questions about rational choice theory.

(III) Real world examples for the usage of rational choice theory in many fields.

Who this book is for

Professionals, undergraduate and graduate students, enthusiasts, hobbyists, and those who want to go beyond basic knowledge or information for any kind of Rational Choice Theory.