Restoring Order through Rational Choice

Rational Choice Theory and an Example of How It Applies
Introduction
When it comes to explaining disorder in neighborhoods and communities, there are many theories that can be applied. Broken Windows Theory, for example, posited that crime comes to communities when community members allow their neighborhood to get rundown and fail to clean up graffiti, litter or abandoned buildings. Another theory, which this paper will examine, is the theory of rational choice, which can be used to explain how and why people make decisions in their lives and in their communities that have an impact on the order in the neighborhood. This paper will discuss how rational theory can be applied to the neighborhood of Over-the-Rhine in downtown Cincinnati, which has attracted a great deal of attention from city planners and community organizers over the past century due to its historic landmarks and character and the need for the area to be revitalized to help support the city’s overall plan to clean up the community and attract new investment.
Problem Statement
Understanding how communities operate and how disorder impacts neighborhoods from a criminological perspective is important for developing appropriate measures and policies to prevent crime, disorder and problems in the future. In neighborhoods where there is a need for improvement, the city has to implement the most effective strategies for decreasing the risk of crime. Applying the right theoretical perspective is essential in the development of that strategy.
Framework and Assumptions
The framework applied to this study is based on the utilitarian principle that right and wrong are determined by what benefits society the most (Cahn & Markie, 2011). The utilitarian principle serves also as the basis of rational choice theory, from the criminological standpoint, in that individuals are viewed as having needs, such as things like security, safety, money, happiness, and so on, and that their situational status will impact the choices they make on how to fulfill their needs (Cornish & Clarke, 1987). This theory assumes that individualism is a primary aspect of who people are; that they are primarily concerned with self-interest after all is said and done; and that their main method of seeking self-interest is to maximize their returns.
Literature Review
There are various ways to think about how rational choice applies to the real world. Criminologists must consider a variety of perspectives and variables when using the lens of rational theory. For example, they might note that a pleasure-pain principle applies to the decision-making process for most individuals. In any community, a rational individual is going to make decisions based on whether the outcome will yield pleasure or pain. The concept of deterrence theory is based on this idea: deterrents in society are placed so as to heighten individuals’ awareness of the pain that will be experienced following a bad decision—such as deciding to steal, rob, beat, kill or rape. Punishment as a form of deterrence fits into the rational choice model, as one of the possible considerations that a rational actor should think about when deciding on a course of action (Lyman, Potter, 2007).
How communities are arranged or how they succumb to disorder can be explained by social disorganization theory and by social control theory. For example, in a neighborhood that lacks unity, the characteristics of communal responsibility, and the qualities of communal care will likely attract criminal elements which seek to capitalize off the disorganization in the community which creates a gap for them to operate in. Social control theory posits that opportunities for control are what generate the most appeal for individuals seeking to gain from unethical decision-making and practices (Takagi, Ikeda, Kobayashi, Harihara & Kawachi, 2016). In any case, these theories generally are supported by the rational choice model, as each contains an element of the pleasure-pain principle and the utilitarian principle of maximizing the common good vs. pursuing one’s own self-interest.
Rational Choice Theory
The underlying idea in rational choice theory is that individuals will weigh the costs and benefits—the pleasure or pain—that a decision will likely yield for them. This is why the theory is based in the concept of self-interest, because it is assumed that individuals act in ways that they perceive to be in their best self-interest, even if they are ultimately wrong or misguided as to what would really be in their best interest (Miller, 2001). The limitations of rational choice theory are built-in to the assumptions at the heart of the theory: for instance, it cannot be said that every action is based on the rational assessment of whether the outcome will bring pleasure or pain. Not every action has the same etiology: or, as Gibbs (1987) points out, “each theory should be limited to one type of crime if only because it is unlikely that any etiological or reactive variable is relevant for all crimes” (p. 830). In other words, when assessing human behavior, rational choice theory will be applicable in certain instances—but most certainly not in all instances, such as those in which passion is a primary cause of action. However, for assessing community organization and the impact of disorder in the community, rational choice theory can serve as a suitable approach, as passion is less likely to be a major factor in the way the community is organized.
Historical Background
The historical background of rational choice theory is that it stems from social disorganization theory, described above, along with systematic crime theory. The idea was developed by Sutherland and focused on how when families break down and dissolve, communities become disorganized. Culture plays a large part in how well organized a community will be because culture informs and guides the ways in which families will develop, which in turn provides the mechanism for decision-making and pursuing what is defined as the common good in utilitarianism (Sutherland, Cressey & Luckenbill, 1992). In communities where families are not well-maintained, law and order will need to be asserted by the state—but the immediacy with which the state’s control is felt will depend on the associations the individual actor makes between the state and the risk/reward calculations of his own individual behavior. Ultimately rational choice theory is based on economic principles of risk vs. reward in every financial decision. This has its root in J. S. Mill’s theory of utilitarianism, that a thing is good insofar as it benefits the majority of people.
Main Theorists
The main theorists of rational choice theory thus must start with Mill, who published his theory of utilitarianism in 1861. Following Mill, the application of utilitarian thought was applied in economics and then later in the study of criminology. In criminology, Matza (1964) first introduced it in the concept of drift theory, which posited that individuals will drift in their behaviors from good ones to bad ones depending on a variety of factors and decisions they make. Edwin Sutherland contributed to the development of the idea and later Clarke and Cornish developed the method for applying the theory to situational crime prevention.
Where They Studied
The University of Chicago or Chicago School was the primary location of social theories in the first half of the 20th century. This is where Sutherland developed the concept of systematic crime theory. Clarke and Cornish also came through the University of Chicago with their situational crime theory in which rational choice theory serves as the nexus.
What the Theory Seeks to Explain and Why
The theory of rational choice seeks to explain why individuals make decisions that can impact their lives one way or another. The theory uses Mill’s philosophical position to explain how rational actors make decisions based on the perceived cost/benefit of the options available to them. The theory has been used to explain why criminals make bad decisions and how the state can prevent crime by strengthening a community so that it provides better opportunities and options for people to pursue positive outcomes that benefit both them and the common good of society.
Location/Neighborhood
Where
Over-the-Rhine in Cincinnati, OH, is one of the oldest districts in the Queen City and much of the original Italianate style architecture of the 19th century is still intact throughout the community. The community has seen many changes over the past century. In the 19th century, it was predominantly populated by the German-American population (its name comes from the German sense that this part of the city resembled the Rhineland back home in Germany). By the early 20th century, much of the German population left the area for newer suburban regions in the hills, and an influx of poor Appalachians came into the area.
For the next several decades, the region was populated by a mix of Appalachians and low-income African-Americans. From the 1970s onward, a homeless problem characterized the region best and activist Buddy Gray established the Drop-Inn Center for homeless and alcoholics in the area. Buddy Gray was contentious with City Hall about the city’s attempts to relocate the low-income families and to prevent the City from gentrifying Over-the-Rhine, Gray organized a group to purchase parcels throughout the community and thus block the city from undertaking any major renovations (Miller & Tucker, 1998).
When Gray was murdered by a homeless man who had been helping him at the Drop-Inn Center, the city began moving forward with plans to revitalize the neighborhood. The Drop-Inn Center was relocated and many low-income families were forced to move. New businesses began opening up—restaurants, shops, clubs, and so on. A street car was installed through the area to help promote business. Many of the properties were renovated. A major investment firm called 3CDC began pouring millions into the community to make it more attractive for the Millennial generation seeking an urban lifestyle.
Types of Residential and Commercial Properties
Over-the-Rhine boasts a good number of 100+ year-old residential brick row style homes in the 19th century Italianate manner. It has some of the most valuable architecture in the city, with what was once known as Millionaire’s Row right in the heart of the community where the old meat-packing families lived (Miller & Tucker, 1998). The area also has a number of low-incoming housing units for low-income families, which is part of the city’s pledge to have affordable housing in the area. However, as the community has received a great deal of renovation since Gray’s death in the 1990s, real estate is now far from cheap, as it was in the 1980s. Today, a loft may go for half a million dollars on any street in Over-the-Rhine.
Many new restaurants and breweries have opened in the community as part of 3CDC’s effort to bring in new investors and business owners. The city’s 200 year old Music Hall is in the community and underwent a major renovation recently. Over-the-Rhine sits on the northend of the city’s business district, where major Fortune 500 companies have their headquarters, such as Kroger, Proctor and Gamble, GE, and others. The city hosts a number of professional sports franchises with their own stadiums also downtown. The downtown area has a large business section for shopping and eating that surrounds the Fountain Square. The street that runs north from Fountain Square will lead one right to Over-the-Rhine if one follows it for several blocks.
Residents and People Who Frequent the Location
The community now consists of a combination of upper-class, upper-middle-class and low-income families. The homeless problem diminished following the crackdown of police on the area in the wake of riots in the city in the early 2000s. However, the homeless problem has increased in recent years and shootings in the downtown area and the Over-the-Rhine area have also increased, raising alarm among investors and residents alike.
Prior to the neighborhood’s revitalization in the early 2000s, very few suburbanites or white members of the middle class would travel to Over-the-Rhine as it was deemed unsafe and offered little in the way of attraction: there were no new restaurants, clubs, bars or shopping venues. Now, there is an active nightlife in the community, with many streets filled with whites from the suburban parts of the city. Some African-Americans are still found in the community but they seem to be moving out as prices go up.
Drugs are still a problem in the area as there are still a number of abandoned structures in the community that have not yet been revitalized. These structures often serve as cover for the homeless and for drug addicts. They are still numerous in pockets around the community.
Application of the Theory to the Location/Neighborhood
How Theory Impacts Location and Vice Versa
The theory of rational choice impacts the location in terms of the way the city has handled the revitalization of the community purely from an economic point of view. The city wanted to renovate the region and attract investors and new residents so that it could increase its tax revenue (Miller & Tucker, 1998). This was the main reason the city wanted to relocate Buddy Gray and his homeless shelter—it was seen as a deterrent to investment, especially as Gray opened it right next door to the famous and historic Music Hall opposite Washington Park, which has also seen a major restoration to the tune of several millions of dollars.
For some of the long-term residents, rational choice theory explains their desire to stay in the city to be part of the new revitalization. Others have protested the city’s efforts because they feel they are going to be priced out of the community; so for them the theory explains their antipathy towards the city. The theory itself impacts the location by allowing one to view it as an opportunity to engage both in lawful business (such as the operating of restaurants and bars) and in criminal enterprises (such as drug dealing in the areas that are still not renovated and host numerous abandoned structures). Various people can rationalize engaging in either, as there are benefits to both, so long as interest in the area is maintained and so long as the police are not routinely policing the areas.
In recent months, a greater police presence has appeared in the community, which is how the location has impacted the theory in turn. With more upper class people coming into the community for recreation, there has been an increase in panhandling and burglaries, with cars being broken into and so on. The location has thus shown that just because there is benefit to be had for the common good, not all members of the community are going to go along with the main idea of benefitting the common good and will look to benefit themselves.
Programs and Initiatives Attempted in the Location
An equal housing opportunity program has been promoted in the community to ensure that low-income families can remain in the community. However, low-income housing will be difficult to justify as more and more investment comes into the region. Major renovations have occurred and the city has moved the homeless shelter to the southwest district out of Over-the-Rhine. The homeless are still gathering in Washington Park and recent shootings in Fountain Square have led to demands for increased police presence in the community. Drug abuse (heroin) is still a major problem. Renovation continues nonetheless.
Effect
The effect of these initiatives in the community has been an increase in the city’s marketability, which the major corporations in town have used to try to attract new talent to the region. These companies depend upon a thriving city and culture for attracting Millennials and the new Over-the-Rhine has given them that opportunity. Low-income families, however, and those activists who are left of the Buddy Gray days are still not happy with the gentrification as they feel they and their life’s work to protect the homeless and low-income groups is now being destroyed.
Recommendations for Addressing Disorder in the Location
Disorder continues to exist in the community as two competing groups now seem to be trying to edge the other out: the investors and business owners and the low-income families, criminal element, and activists are at odds with one another. The city is on the side of the business element and needs the tax revenue badly. The recommendation for bringing order to the location, therefore, is to increase a police presence and abandon the attempt at political correctness by removing all low-income housing from the area. New housing projects can be made available on the outskirts of town to assist those who need it. The city’s books depend upon order and new economic life being brought to Over-the-Line, so this should receive top priority, as hard as that may seem to the activists who worked under Gray in the past. This is the most rational way to approach the problem.
Conclusion
Rational choice theory can be used to help solve the disorder problem in Over-the-Rhine by showing what is in the best interest of the common good for the city. The city needs to finish rehabilitating the area before crime re-emerges to drive out investors. This has to be done quickly while the area is still attractive to consumers so that the local corporations can benefit from the revitalization and bring new economic life to the city and its coffers.

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