> Classical economics thinks of people as "rational utility-maximizing actors", which doesn't approximate reality in quite a lot of ways. There's been a move to

> Classical economics thinks of people as "rational utility-maximizing actors", which doesn't approximate reality in quite a lot of ways. There's been a move toward more sophisticated models - like that people minimize regret more than they seek the optimal reward ("rational actors with regret minimization") Even when entities (corporations, for example) are trying to maximize utility, and an optimal decision is desired, there are issues with how much time and resources can be spent making decisions, so optimality has to be bounded in various ways (do you wait for more information? Do you spend more time and compute on calculating what would be optimal? etc.).