Which of the following statements about the idea that people are rational is correct?
a. the idea assumes that consumers and firms use all available information as they act to achieve their goals.
b. the idea assumes that consumers and firms always make correct decisions.
c. the idea assumes that consumers and firms take into account the costs of their actions but ignore the benefits.
d. the idea assumes that consumers and firms take into account the benefits of their actions but ignore the costs.

B. The idea assumes that consumers and firms always make correct decisions.

Explanation:

The idea is based that every economic agent, regardless of its nature people or firms make right decisions because they make rational process in every decision, with all the information available but must important suppose that the emotional factor does not exist and it allows us to make the optimal decision, to maximize the benefits and minimize the costs.

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know