Economic factors in decision making fall under the category of:

• A. Externalities
• B. Market structures
• C. Consumer preferences
• D. Factors of production

Answer: (D)

Verified step by step guidance

1. Step 1: Understand the key terms in the problem. Economic factors in decision making typically refer to inputs or resources used in production, which are known as 'Factors of Production'.
2. Step 2: Review the options given: Externalities, Market structures, Consumer preferences, and Factors of production. Each term has a distinct meaning in microeconomics.
3. Step 3: Define each option briefly: Externalities are costs or benefits affecting third parties; Market structures describe the organization of markets; Consumer preferences relate to individual choices; Factors of production are resources like labor, capital, land, and entrepreneurship.
4. Step 4: Recognize that economic factors influencing decision making usually involve resources or inputs, which aligns with 'Factors of production'.
5. Step 5: Conclude that the correct category for economic factors in decision making is 'Factors of production' because they directly affect production and economic choices.