I think that the principal should choose Policy 2.

I think this because, cell phones distract students at school, and without them, students would have all of their focus on their school work, and therefore, get better grades.

Also, cell phones are bad, because through them, students could get cyber-bullied, and people become less social, and communicate more through their phones, and via text message, than actual face to face, which is far more important.

Having no cell phones would mean that people would be focused more on their school work and all that jazz, rather than on their texts, and things like gossip, rumors, etc.

However, allowing the students to use their cell phones, would boost their morale, and make them happier, but it is not as good a trade, cell phones, and better grades.

Policy 1 may only allow them at lunch, and other free times, but that won't stop some students from using them whenever they want, and abusing their liberty.

Even with Policy 2, which is in use by my school, is disobeyed, and cell phones are still used, despite.

Therefore, it would be best to choose Policy 1, so as to not apply a distraction to the school day, and allow students to be more social face-to-face, rather than through technology.