Policy as Rational choice in competitive situation is

Answer & Explanation

Correct answer: (A) Game Theory

• Game theory- It works to come up with solutions regarding social situations that arise among various actors and strategically produces an optimal decision for those competing actors.
• Rational theory– It refers to a set of guidelines that help understand economic and social behaviour. The theory postulates that an individual will perform a cost-benefit analysis to determine whether an option is right for them. The rational theory describes how governments, while making policies, use facts, reports and information, analyze them and follow a step-by-step procedure to take a decision regarding policies.
• Group theory – It seeks to maintain equilibrium in society and balances the interests of various groups.
• Systems theory- It describes the policy as the response of the political system to meet the changing demands and desires of the people.