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Title: When an economist assumes that the owners of firms are motivated only by the desire to maximize ... Post by: futurenurse15 on Sep 20, 2022 When an economist assumes that the owners of firms are motivated only by the desire to maximize profits, the economist most likely believes that
▸ the assumption is descriptively accurate, since surveys have been taken and the owners of firms have admitted that their only objective is to maximize profits. ▸ the assumption is inaccurate, since surveys have been taken and the owners of firms have admitted that they care about more than just profits. ▸ individuals entering business are quite narrow in their personal objectives. ▸ all people enter business for their own selfish gain. ▸ it doesn't matter whether or not the assumption is descriptively accurate; what matters is whether a theory built on the assumption predicts well. Title: When an economist assumes that the owners of firms are motivated only by the desire to maximize ... Post by: birdnugget on Sep 20, 2022 Content hidden
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