Herbert Simon's concept of bounded rationality challenges the assumption that administrators:
Type: MCQ • Marks: 1
Herbert Simon's concept of bounded rationality challenges the assumption that administrators:
Options
A. Never use information
B. Always act irrationally
C. Possess complete information and unlimited cognitive capacity
D. Are influenced by organisational structures
Explanation
Simon argued that decision-makers operate with incomplete information, limited cognitive capacity and time constraints, leading to satisficing rather than perfect optimisation.
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UPSC Principal & Vice PrincipalManagement Finance Administration
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