Alex sees that his neighbors' lawns all need mowing. he offers to provide the service in exchange for a wage of $20 per hour. some neighbors accept alex's offer and others refuse. economists would describe alex's behavior asa. rational self-interest because he is attempting to increase his own income by identifying and satisfying someone else's wants. b. greedy because he is asking for a high wage that some of his neighbors can't afford to pay. c. selfish because he is asking for a wage that is higher than others might charge. d. irrational because some neighbors refused his offer.

The answer is A) Rational self-interest because he is attempting to increase his own income by identifying and satisfying someone else's wants.

Explanation:

Traditional economic theory is based on three fundamentals, the first one being we are all rational consumers or suppliers.

Alex is trying to earn some money, completely rational and intelligent. He is able to do it by satisfying his neighbors´ need for lawn mowing.

Is he greedy? Probably yes, but he is still rational. No one is forced to pay his fee, so his also rational neighbors will decide if the price is correct or not. Those who believe the price is correct will hire him. If someone believes his is charging too much and that they can offer the same service for a lesser price,  should show up and offer their cheaper services.

Can people who buy a 25 million dollar car be considered irrational? No they can´t, because for them is probably an investment or they simply have  tons of money and like extremely expensive cars. What one person considers expensive may be considered cheap by someone else.

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