Most people have limited liability for debt. Answer A.
Answer: For the given question the following option is the most suitable one: <u><em>Segmented markets theory</em></u>
This theory states that long and short-term interest rates are not accompanying to each other. It also states that the predominant interest rates for short, in-between, and long-term bonds should be viewed individually like unit in different securities industry for debt instrument.
<u><em>The correct option in this case is (c)</em></u>
Answer:
The concept of bounded rationality holds that: b) decision makers process limited and imperfect information and rarely select the best choice.
Explanation:
The concept of bounded rationality means that even though humans use rationality to make decitions, rationality is not the only importan factor to be consider. Humans have limited capacities to analize a manner only by their rational thinking. There for emotions, or the perception of reality can vary from one person to another. Also humans search for pleasure and the satisfactions of their prompt needs, this is the limit of rationality in humans, that is why in order to decide, not only rational thinking is involved.