While humans try to make rational and logical decisions, we are prevented from doing so by our cognitive limitations that limit the quality and quantity of information available to us. This limitation is called:

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While humans try to make rational and logical decisions, we are prevented from doing so by our cognitive limitations that limit the quality and quantity of information available to us. This limitation is called:

a. cognitive load

b. heuristics

c. overconfidence

d. bounded rationality

This limitation is called d. bounded rationality.

Explanation:

The term bounded rationality was introduced by Herbert A. Simon when he proposed our rationality when making decisions is limited. Even though we try to make rational decisions, our capacity to think, our access to information, and our time are all restricted. That makes us rational only part of the time. For the rest of it, we behave irrationally. Simon's concept of bounded rationality still influences several sciences, including psychology, law, and economics.

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