How do traditional economic models perceive individuals' decision-making?

Traditional economic models often operate on the assumption that individuals make decisions in a rational manner, maximizing their utility without making mistakes. This viewpoint is rooted in the principles of neoclassical economics, which posits that individuals weigh the costs and benefits of various choices and inevitably choose the one that provides the highest possible satisfaction or utility.

Within this framework, the idea is that individuals have coherent preferences and access to all necessary information, leading to consistently rational choices. By assuming that decision-making is rational and mistake-free, traditional economic models can create mathematical representations of behavior and predict outcomes based on this idealized concept of human reasoning.

Therefore, the choice that aligns with the traditional economic view is the one that describes individuals as rational and mistake-free as it captures the foundational assumption that economic agents always act in their own best interest through logical deliberation. This contrasts with other perspectives that account for emotions or social influences, suggesting variability and inconsistency in decision-making.