1) Consider a potential criminal with a lawful income of $121. Potential loot from robbery is $75. The probability of being caught and imprisoned is 0.50 and a prison term for this type of crime is 0.33 units of time. Round to one decimal place in all calculations. Utility is given by: Utility = income A. Calculate the guaranteed utility from lawful income and the expected utility of committing the crime. What will the potential criminal choose to do? Explain why. B. Would your answer to part A change if there were an anguish cost of 1 util involved? Explain. C. Suppose all the information/variables given above hold true, except there is no anguish cost. You are a city ofcial who has some extra room inIthe budget to dedicate towards ghting crime. You have two ways in how you can use these resources. You can choose between either: Option #1) increasing the length of prison term for criminals to 0.595 units of time (increasing the severity of punishment) or Option #2) investing in GIS technologies and improved policing strategies that will increase the probability of criminals being caught to 0.60 (increasing the certainty of punishment). Calulate the expected utility of committing the crime under each option. D. Which of these options in part C is a better policy to choose? Explain why