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Bounded Rationality
(redirected from Hyper-rationality)

   Also found in: Wikipedia 0.01 sec.
Bounded Rationality
The theory that humans attempt to make rational decisions, but their ability to do so is limited by knowledge, ability to know, inadequate time to consider and other factors. Bounded rationality may explain situations like panic buying, in which investors continue to buy a security long after it ceases to be rational to do so. Investors may believe the price for the security may continue to rise and may not believe they have enough time to find out for certain. Bounded rationality claims people aim for rationality but cannot be reasonable all the time. See also: Behavioral economics.


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Unfortunately, however, hyper-rationality does not always produce attractive outcomes when social, rather than individual, choices are concerned.
Unfortunately, however, hyper-rationality does not always produce attractive outcomes when social, rather than individual, choices are concerned.
Ours is a culture where hyper-rationality can become irrational and control can balloon out of control.
 
 
 
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