Rational agency model

The rational agency model views individuals or organizations as rational agents who make decisions to maximize their own benefits or goals. These agents gather relevant information, analyze options logically, and choose the course of action that provides the greatest expected outcome. It assumes decision-makers are consistent, goal-oriented, and capable of weighing trade-offs carefully. This model is often used to understand economic and managerial behavior, emphasizing rational planning and informed choices to achieve optimal results within given constraints.