Updated: Aug 20, 2021

The use of logical reasoning based on available facts to reach conclusions. It is the process through which decisions are reached that characterizes rationality, not the outcome of the process. See bounded rationality; consumer rationality.

Reference: Oxford Press Dictonary of Economics, 5th edt.

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James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.