Is it possible to be fully rational?
Rationality. An assumption for many economic models. An expectation from most human beings. A difficult concept to achieve completely over a lifetime of decisions. One more than one occasion you may have told someone to be “rational” in a situation. Rationality expects you to make the best decision for yourself in a manner where you feel fully satisfied with your choices and receive maximum benefit. Now really thinking about the advice you gave earlier, did they get the maximum benefit from their decision and feel fully satisfied? Probably not, because as a human being, your past experiences, personal biases and incomplete information about a situation may not allow you to make the best decision possible. Let’s take a simple example. You walk into a supermarket, to buy some orange juice for your family on a hot summer day. You are presented with three brands which offer different benefits in their juices. One says that it has no added preservatives, one says it has no added s...