FORAGING THEORY AND ECONOMICS
Bounded Rationality
Bounded rationality, introduced by Herbert A. Simon, describes decision-making under cognitive and informational constraints. In foraging theory, animals make food choices based on limited sensory and cognitive resources. In economics, it explains why individuals opt for satisfactory solutions rather than optimal ones.
Optimal Foraging Theory
Optimal Foraging Theory (OFT) models how animals maximize energy intake while foraging. It applies to economics in resource allocation decisions, predicting behaviors that balance costs and benefits under constraints.
Satisficing
Satisficing, coined by Herbert A. Simon, refers to choosing an option that meets minimum requirements rather than optimizing. In foraging, animals select adequate food sources to conserve energy. In economics, individuals and firms settle for satisfactory outcomes due to bounded rationality.