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Your assignment is to prepare and submit a paper on issues on decision making process. Emotions act on a wide range of situations causing biases and errors (Rabin 1998). In short, this means that in certain circumstances the complex, human logical apparatus ceases to process rationality, which establishes grounds for the emergence of bounded rationality. “The other is that in interactive situations of complication, agents cannot rely upon other agents they are dealing with to behave under perfect rationality, and so they are forced to guess their behavior. This lands them in a world of subjective beliefs, and subjective beliefs about subjective beliefs” (Arthur 402).

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