Punishment: (Be very clear and show calculation)
A burglar enters a home by breaking apart the side door that the homeowners recently installed for $400. Once inside the home, the burglar puts down the sledgehammer worth $50 in the hallway and proceeds to the dinning room and begins loading silverware, liquor, and porcelain valued at $2000 into a bag. Then suddenly, the burglar hears a car approaching in the driveway and flees through the back door with the bag of valuables. As the flees, he drops an un opened bottle of cognac worth $150 that shatters in the backyard.
a) What is the perfect compensation to the homeowners? What does perfect compensation mean?
b) What is the perfect disgorgement value? What does perfect disgorgement mean?
c) What is amount would constitute a monetary punishment? What does monetary punishment?
d) There is a 50% chance that the burglar will be apprehended and convicted. What is the benefit and next benefit to the burglar?
e) If the burglar is apprehended, is returning all of the items stole or their value in cash an appropriate punishment? Explain clearly.