Behavioral Economics, Loss Aversion, Bounded Rationality

Rational choice theory makes predictions about large scale behavior by assuming human beings are motivated to maximize their utility. Prospect theory argues that we treat losses differently than corresponding gains. In addition, we have numerous other psychological biases that cause us to predictably deviate from the predictions of rational models of motivation. Some research into traite curiosity has often not been easy, with some researchers speculating that it may not even exist.