Doris, a burglar who breaks into houses, decides to break into the house at 265 Elm Street, rather than the house next door because the house next door has a sign in the yard that says "home protected by a security system." To an economist, Doris is
A) making an irrational choice.
B) making a rational choice.
C) not fully considering the personal costs and benefits of her decision.
D) not responding to the incentives she faces.

Question

Quizplus · Accepted Answer

Doris is making a rational choice as she is weighing the potential costs and benefits of breaking into each house and deciding to choose the one without a security system. This is a rational decision based on her desire to avoid being caught or hurt during a burglary.

Doris, a Burglar Who Breaks into Houses, Decides to Break