Economic Theory?

Question

A poll conducted by a national firm finds that most Americans say they care more about safety when buying a car than about fuel efficiency. As a result, a car maker produces a car with many safety features, but it doesn't sell well. This behavior

contradicts economic theory because the people didn't do what they said they would do.

contradicts economic theory because it is irrational not to purchase safer cars.

does not contradict economic theory because economists focus on what people do rather than on what they say.

does not contradict economic theory because economic theory only relates to prices and not to features such as safety.

Answer 1

Does not contradict economic theory because economists focus on what people do rather than on what they say.

Answer 2

Have you read the book "Predictably Irrational" ? That will answer many questions such as these:

http://blog.technicalley.com/index.php/b...

Another interesting book is "Freakonomics":

http://blog.technicalley.com/index.php/b...