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Are we rational? Rational decisions are those that maximise expected utility, rational beliefs are those that are internally consistent (Collman, 2002) Many modern sciences of human behaviour; economics in particular are based on the assumption that the human is somewhat rational. Bayes theorem and rational choice theory assume that the human is rational. Rational choice theory has been multidisciplinary in its influence. This paper will examine the different approaches to human rationality and experimental research, such as Kahneman & Tverskys (1972) infamous lawyer-engineer problem, which undermines the belief that humans are rational (introducing the concept of heuristics to support this view). The view by Koehler (1996) that base rates (prior probability) are sold to us as being routinely ignored (the base rate fallacy) in experimental studies will be also examined to support the idea that humans may not be as irrational as the normative standpoint would lead us to believe. Three approaches...

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