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Megan Glessner
on Oct 08, 2024

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Buck carefully plans out an early morning exercise routine to lose weight and get fit.When it's time to work out,however,Buck just "doesn't feel up to it" and decides to sleep in.Behavioral economics would say that Buck:

A) weighed the costs and benefits and made a rational economic decision to sleep in.
B) used System 1 of his brain to formulate his workout plan,but then gave in to System 2 when he chose to sleep in.
C) used System 2 of his brain to formulate his workout plan,but then gave in to System 1 when he chose to sleep in.
D) is fundamentally lazy and incapable of sticking to a workout plan.

Behavioral Economics

A field of economics that examines how psychological, social, cognitive, and emotional factors affect the economic decisions of individuals and institutions.

Early Morning

The period of the day just after sunrise, often considered a pivotal time for productivity or specific activities.

System 1

A term referring to the fast, automatic, and often unconscious way of thinking, as opposed to the more deliberate and analytical System 2 thinking.

  • Elucidate on how System 1 and System 2 thought processes influence decision-making.
  • Comprehend the manner in which behavioral economics elucidates the reasons behind less-than-optimal choices and consistent mistakes.
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Gabriela RameauOct 14, 2024
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