You are ill on the day of the concert for which you had bought tickets almost a month ago. Since you paid almost $40 for the tickets, you are considering whether to go to the concert anyway. Rational choice theory says that you should go to the concert only if:
A)the benefits of going outweigh the $40 dollars you spent on the tickets.
B)the benefits of going outweigh the $40 dollars plus any additional pains associated with getting out of bed while being sick.
C)the benefits of going outweigh any pains associated with getting out of bed while being sick.
D)you feel better.

Question

Quizplus · Accepted Answer

Rational choice theory suggests that decisions should be made based on the current benefits and costs, not on past expenses which are considered sunk costs. In this scenario, the $40 spent on tickets is a sunk cost and should not influence the decision. The decision should be based on whether the benefits of attending the concert outweigh the discomfort or pains of getting out of bed while being sick.

You Are Ill on the Day of the Concert for Which