Economists discover miracle hangover cure, drink less

              Assumptions of economists are always different as compare to the common people. Economists always compare their every action under the aspects of money, utility, and demand. Economists always allocate their resources after considering the decision taken by humans that directly or indirectly help to maximize their utility (Dransfield, 2013). In the case of Chris, it is clear that each of their action is fully analyzed under the model of the cost and benefits.

Model Building of Economists discover miracle hangover cure, drink less

            Model is not only based on some specific actions but it also includes all the minor actions like cost efficiency on the beer. People can have benefited by comparing two actions under the concepts of costs and their utilities. According to the psyche and the rules of economics, this model indicates the cost of any action that they are going to perform after deriving the after effects. For example, a person is having a beer which is costing him $10 but he would have to go through hangover due to which he may lose his control to perform his other actions. The simple person at this situation will not think so much and go with the flow but the economist will after the analysis of the cost and its benefits in the future. They will prefer to have only a specific quantity of beer that would not cross the utility boundaries.

Opportunity Cost of Economists discover miracle hangover cure, drink less

            In the case of Chris, most of the opportunity cost included the happiness of playing PlayStation. Second cost opportunity of Chris was also based on the pleasure of the cataloging of his stamp collection. As Chris was an economist and he compared his opportunity costs with his desires. He preferred to stop drinking because more drinking was supposed to affect his other actions that were also full of utility.  Simply, if Chris had drunk more beer he was about to get a hangover and lose the pleasure of playing PlayStation at his home. This is a straight case of comparing two actions under the utility and cost opportunity and Chris considered opportunity cost more prior.

Model of rational Individual of Economists discover miracle hangover cure, drink less

            In the psyche, ordinary people are fully different and do not compare their actions with the cost opportunity and utilities. According to eh argument of Jessica, Humans do not fit in the model of rational individuals developed by the economists. It is all about in the mind of economist and they perform any of their action after comparing it with the cost opportunity (Mankiw, 2016). Common people simply think that whether they should perform a task or not. On the contrary, economist considers the benefits, utilities, after effects, relation to other actions of their activity.  (Dwivedi, 2002). In the case of Chris, it is clear that he related his hangover to the utility of PlayStation and other tasks which he was going to perform the next day. Simply, economists always make the decision in the fully calculated way after analyzing the cost opportunity and the utility of their task. This analysis and calculations are very much important because there should be a comparison among activities and their effects on each other. For example, if a person sleeps late, he would wake up late. Sleeping late has a direct impact on the time of waking. In the case of an economist, he would analyze if sleeping late will affect the cost opportunity of his any action in the morning, he will be made changes in his decisions. It is because he would not compromise on the utility and opportunity cost of his any other action that is affected by sleeping late.

Choices of Rational People of Economists discover miracle hangover cure, drink less

            Rational people always compare and differentiate between the alternatives. Only economists do not have this ability but ordinary people also have it. As compared to economist ordinary people are less efficient in making calculations in their minds to differentiate alternatives. Economists consider the choice of ordinary people as uncalculated. Ordinary people do not calculate the opportunity costs and the utilities of their action which is the reason that their every action has a direct impact on their other actions (Dransfield, 2013). Ordinary people take their actions under the factors of yes or no. for example, ordinary people spend money if they like something. On the contrary, economists spend money on the products that have given the opportunity cost and has maximum utility (Dransfield, 2013). According to economists, rational people choose between alternatives because of the utility, opportunity cost and after effects of any product. This is a straightforward matter of happiness which can only be derived by maximizing the utility of any actions comparing the opportunity cost of any particular work (Baumol & Blinder, 2015). This factor is not bounded to the economist only but ordinary people are also rational as they compare and differentiate between the alternatives to maximize the utility of any products or services.

Work in practice of Economists discover miracle hangover cure, drink less

        The case which is analyzed in this essay is not the case bounded to theory but it works in all the practices. Economists are taught or trained to differentiate in almost all of their actions so the utility and cost opportunities can be maintained (Siebert, 2008). This factor is not that much prominent in reality but always under process in the mind of economist and it works in almost all practices of economists. For ordinary people, this concept may be bounded to the theory but for economists, comparing and differentiating between the alternatives is the main factor through which they get the things with least utility and have an opportunity cost of any actions.

Conclusion on Economists discover miracle hangover cure, drink less

            Conclusively, ordinary people also have the abilities to differentiate and evaluating their actions. Economists are not required to make calculation because whenever they are about to perform any action their assumptions related to utility and cost opportunity are readily generated in their mind. Economists have proper knowledge of this aspect so they perform quick calculations in their mind as compared to the ordinary people...

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