@TechReport{iza:izadps:dp1239, author={Manzini, Paola and Mariotti, Marco}, title={Rationalizing Boundedly Rational Choice: Sequential Rationalizability and Rational Shortlist Methods}, year={2004}, month={Aug}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={1239}, url={https://www.iza.org/index.php/publications/dp1239}, abstract={A sequentially rationalizable choice function is a choice function which can be obtained by applying sequentially a fixed set of asymmetric binary relations (rationales). A Rational ShortlistMethod (RSM) is a choice function which is sequentially rationalizable by two rationales. These concepts translate into economic language some human choice heuristics studied in psychology. We provide a full characterization of RSMs and study some properties of sequential rationalizability. These properties allow some degree of menu dependence in choice.}, keywords={incomplete preferences;intransitive choice;bounded rationality;menu dependence;rationalizability of choice}, }