ECONOMICS (CBSE/UGC NET)

ECONOMICS

DECISION MAKING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
According to which theory is it that when individuals observe behaviour, they attempt to determine whether it is internally or externally caused?
A
Attribution theory
B
Selective perception theory
C
Bounded rationality theory
D
Utilitarianism theory
Explanation: 

Detailed explanation-1: -Attribution theory suggests that when we observe an individual’s behavior, we attempt to determine whether it was internally or externally caused. That determination, however, depends largely on three factors.

Detailed explanation-2: -Attribution theory is based largely on the work of Fritz Heider. Heider argues that behavior is determined by a combination of internal forces (e.g., abilities or effort) and external forces (e.g., task difficulty or luck).

Detailed explanation-3: -The Attribution Theory is concerned with how individuals perceive the information they receive, interpret events, and how these form causal judgements. No individual would take an action or decision without attributing it to a cause or factor.

Detailed explanation-4: -In an internal, or dispositional, attribution, people infer that an event or a person’s behavior is due to personal factors such as traits, abilities, or feelings. In an external, or situational, attribution, people infer that a person’s behavior is due to situational factors.

Detailed explanation-5: -Attributions are classified along three causal dimensions: locus of control, stability, and controllability. The locus of control dimension has two poles: internal versus external locus of control. The stability dimension captures whether causes change over time or not.

There is 1 question to complete.