How are criminals maximizing their total utilitySolutionThe

How are criminals maximizing their total utility?

Solution

The optimization function of criminals is like this:

Maximize Utility = U(Wealth accumulated from crimes), Subject to

\"Freedom\" Constraint = Minimum conviction

That is, they maximize utility by accumulating as much wealth they can from committing crimes, subject to the constraint that they need to spend as less time in prisons (by avoiding being caught, convicted and sentenced), since the more time they spend in prisons, the less they get time to commit further crimes and gather wealth from such activities.