Emergence of Simplicity amidst Complexity

The woman viewed several homes for sale and opted to buy a two-bedroom red-brick Cape Code (Barros 2010, p. 457). Notably, this house was the cheapest in the suburbs with many others in the neighborhood costing double the price she bought.
After purchasing the house, she began fixing it so that she could move in. She successfully fixed all the rooms and bought new furniture. Worth mentioning is the fact that the house needed a lot of cleaning up because it had been neglected for 47 years by its previous owner. After settling down in the new home the woman purchased, she had the worst experience a few months later. A hurricane that caused flooding and her house was filled with water (Brennan &amp. Lo 2012, p. 3). Many of her belongings and furniture and other electrical appliances were destroyed during the hurricane. After the flood, it took an entire year to renovate the house and restore its original condition before the flood. Numerous procedures with different governmental agencies as well as insurance companies served to make the experience stressful.
The decision-making exhibited by the woman buying the house was an evident example of bounded rationality. The theory of bounded rationality was developed by Simon in 1957 who opined that it was impossible to abide by the normative models of decision making because human beings did not have the required capacity to do so. Therefore, when many people are compelled to make decisions, they do not take time to consider the best possible option (Golman 2012, p. 7). Many people end up making irrational decisions in a hasty manner. They fail to analyze the potential consequences associated with their decisions, a common factor that defines bounded rationality. In the case of the woman, she exhibited bounded rationality when buying the house. She exhibited three aspects that have been defined as the key unavoidable constraints experienced by many people when making&nbsp.decisions.