Al regularly pays the full amount of taxes due, even though he could easily hide some of his income and reduce his tax burden, with no risk of getting caught. According to behavioral economics:

A. Al is not economically rational in his behavior.

B. fairness and other moral considerations cause Al to act contrary to his pure self-interest.

C. Al is more ethical than the majority of the population.

D. heuristics are causing Al to act honorably, not a conscious or deliberative thought process.

B. Fairness and other moral considerations cause Al to act contrary to his pure self-interest.

Explanation:

Moral considerations refer to paying utmost attention to one's conduct, based upon the morals one has attained.

An individuals morals determine and shape his actions and conduct. Morals refer to an individuals beliefs and views as to which actions should be considered as right and what is defined as wrong.

An individuals morals are shaped by his/her social interaction and commonly acceptable social beliefs which specify what constitutes right or wrong.

In the given case, Al pays full amount of taxes despite knowing that by application of certain methods, he can successfully conceal his income. Here, the individual's own conscience does not let him behave in an unscrupulous manner owing to his inclination towards morals.

This just and fair behavior coupled with other moral considerations, cause Al to overlook his self interests and act to the contrary.

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