The Theory of Bounded Rational Behavior- A New Theory

The Theory of Bounded Rational Behavior (TBRB) is a simple modification of the Theory of Planned Behavior (TPB) devised by Ajzen which is an extension of the Theory of Reasoned Action (TRA) originated by Fishbein and Ajzen. As mentioned earlier, conventional economic analysis generally proceeds under the assumptions of neoclassical economics that all human beings behave as supposed by the infinitely rationality notion of homo economicus. In similar fashion, TPB assumes that rational considerations govern the choices and behaviors of individuals. However, empirical evidence suggests that there is enough reason to doubt these assumptions on the grounds that people exhibit bounded self-interest, bounded rationality and bounded willpower which provide practical guiding limits toward actual behavior as direct antecedents of this actual behavioral construct in the model of TBRB.