Chapter 1

Question 1

What are the 2 steps of problem solving

Answer 1

1. figure out what’s causing the problem
2. figure out how to fix it

Question 2

Define the “Rational Actor Paradigm”

Answer 2

The rational actor paradigm assumes people act

• rationally
• optimally
• self-interestedly

Simply put: people responde to incentives

Question 3

What 3 questions help define the source of a problem

Answer 3

1. Who is making the bad decision
2. Does the decision maker have enough information to make a good decisino
3. Does the decision maker have the incentive to make a good decision

Question 4

What answers are suggested by the 3 questions for defining a solution

Answer 4

1. Letting someone with better information or incentives make the decision
2. Give the decision maker better information
3. Change the decision maker’s incentives

Question 5

Define Deontologist

Answer 5

actions are good or ethical if they conform to a set of principles

Question 6

Define Consequentialists

Answer 6

Actions are judged based on whether they lead to a good consequence