Sacred Heart Academy

Loon, Bohol
SY 2020-2021
Member: Catholic Educational Association of the Philippines (CEAP)
and Bohol Association of Catholic Schools (BACS-Tagbilaran)
email add: sacredheartacademyloon@yahoo.com
tel #: (038) 505-8087

ACTIVITY SHEET NO. 3 – Q2

NAME: __________________________________________________ SECTION: ________________________________

Subject: DISS Grade Level: 11-HUMSS Date: ______________________ Score: _____

ACTIVITY TITLE: RATIONAL CHOICE

LEARNING COMPETENCY/S: Predict the social consequences of decision making based on scarcity.
LEARNING TARGET/S: 1. Define rational choice;
2. Identify the key concepts in Rational Choice Theory; and
3. Create a video presentation on rational choice theory as applied in social sciences.

REFERENCE/S: Gonzalez, Maria Carinnes P. Disciples and Ideas in the Social Sciences. Makati City: Diwa Learning
System Inc., 2016.pp. 136-141

CONCEPT NOTES

The rational choice theory explains that human action and behavior are products of choice. Individuals rationalize
their situations by processing between the most beneficial choice and the lesser individual cost. In the rational choice
theory, cost-benefit analysis is always performed in every given situation and is considered an instinctual response of every
human. Cost is something disadvantageous to or what is lost by an individual after making the choice. Some of the
questions commonly asked during a cost-benefit analysis are the following:
 Will this benefit me?
 How will this benefit me?
 What will benefit me most?
 How far am I willing to negotiate?
 What will I have to sacrifice?
 How much will it cost me?

For example, Sebastian has two classmates whom he wants to be friends with: Ethan, a social outcast but has the
newest action game, and Alyster, the most popular in the class but does not like to play action games. Sebastian’s first
level of cost-benefit analysis is choosing between having the chance to play the newest action game or not. His second
level of cost-level analysis is choosing whether he would like to be associated with a social outcast or with the most
popular student in class. The rational choice for Sebastian would then be dependent on which is more important to him
– to play the game or to be associated with the popular crowd. This example provides the basic principle of rational
choice theory wherein preference plays an important role in decision-making, while the individual rationalizes the
burden and benefits of the available choices. This example also highlights the basic assumptions of rational choice
theory which are the following:
1. Individuals act purely on self- interest.
2. Individuals understand their interests enough to rationally categorize them according to what they most prefer.
3. Preferences are transitive in nature. This means that choices have a hierarchical order and that the highest
preference will always be favored.
A famous example of rational choice theory is the prisoner’s dilemma. Two recently released convicts committed a
crime. However, investigators of the case lack sufficient evidence to prove their guilt. As a scheme, the investigators had the
two suspects held in separate rooms where they were told that if they tell on the other, they would be freed. This condition
allows one of them to go free, while the other faces incarceration. Since both will think that one is already betraying the
other, both would indeed decide to betray the other, causing both of them to be incarcerated. ThisFAITH
Prepared by: JEAN example
M. NOVALproves that
individual self-interest weighs heavily in the process of choice making. Reviewed by: NINO JAY C. GASTONES, MA- English
The underlying structure of the rational choice theory is the incentive to do what is beneficial to all; nevertheless,
SHS Coordinator
what weighs more heavily is the incentive to do what is beneficial to the individual. This structure
Approved by: NIÑObest
JAY C.explains
GASTONES,how this
MA-English
theory is readily applied to social phenomena and interactions. Academic Coordinator

Vision: An institution of God-fearing, God-loving, and well transformed individuals

Mission: To provide quality education and values formation
Goals: inspired by the school’s vision-mission statement and the Divine Providence, we commit ourselves to:
 become person for others by sharing what we have and what we are;
 have a harmonious relationship among administrators, teachers, parents and students based on Trinitarian Spirituality;
 develop a pro-People, a pro-Nation, a pro-Earth, and a pro-God community

Parent’s/Guardian’s Signature over Printed Name: _________________________________________

 Sacred Heart Academy
Loon, Bohol
SY 2020-2021
Member: Catholic Educational Association of the Philippines (CEAP)
and Bohol Association of Catholic Schools (BACS-Tagbilaran)
email add: sacredheartacademyloon@yahoo.com
tel #: (038) 505-8087

Key Concepts in Rational Choice Theory

Social Consequence of Scarcity-based Decision

Humanity’s unlimited wants and perpetual desires drove civilizations to either their prominence or destruction. With
natural resources being finite and the requirements of human ambition unending, the most rational choice is to conserve the
limited resources and share these with each other. However, the problem is that individuals only seek self-interest and
would end up deciding what benefits them the most.
Such is the structure of human nature when being described in the context of rational choice theory. The tragedy of
the commons further elaborates this structure. The tragedy of the commons is a scenario wherein a common piece of land
is shared for grazing by a community. Because the grass that grows on the land is limited, farmers need to limit their herd
when grazing so that the land could keep up with the requirements of the community. The tragedy in this scenario starts
when a farmer lets his herd graze more than what is allotted, thinking that such action would provide him with better profits.
If the farmers would all think of the same, the land will eventually become useless to the community. When the land is
already unusable, the farmer would just resort to letting his herd graze more because after all, there will be nothing left.
Plato discussed in his The Republic this very notion of exploitation by the unchecked freedoms of people. Without
justice, people would consume as much as they like and would eventually deplete the resources common to all. Thomas
Hobbes philosophized that the only thing that could prevent the pillaging of public or common goods is the absolute
monarch, which he calls Leviathan.

Activity # 1. What Have I Learned So Far? Answer the following questions in 2 to 3 sentences. Write your answers on a
separate sheet of paper.

1. What is rational choice theory?

2. How does preference affect decision-making?

3. How does incentive affect individual behavior?

4. What is the nature of humans?

5. What is the tragedy of the commons?

6. What is Plato’s argument on exploitation?

7. According to Hobbes, how can the exploitation of the commons be avoided?

PERFORMANCE TASK

Go to https://www.youtube.com/watch?v=JaKMimJPxyA (last accessed on 29 February 2016) and watch a video

presentation on rational choice theory as applied in economics. Afterward, create a similar video that tackles any of the
other disciplines in social sciences (except for economics). Your output will be based on creativity (50%) and accuracy of
data (50%).
Prepared by: JEAN FAITH M. NOVAL

Reviewed by: NINO JAY C. GASTONES, MA- English

SHS Coordinator
Most Sacred Heart of Jesus, Have mercy on us. Immaculate Heart of Mary, Pray for us. St. Joseph, Pray for us.
Approved by: NIÑO JAY C. GASTONES, MA-English
Academic Coordinator

Vision: An institution of God-fearing, God-loving, and well transformed individuals

Mission: To provide quality education and values formation
Goals: inspired by the school’s vision-mission statement and the Divine Providence, we commit ourselves to:
 become person for others by sharing what we have and what we are;
 have a harmonious relationship among administrators, teachers, parents and students based on Trinitarian Spirituality;
 develop a pro-People, a pro-Nation, a pro-Earth, and a pro-God community

Parent’s/Guardian’s Signature over Printed Name: _________________________________________