He was looking downfield. Nobody was open. Better to throw a 2 yard pass and hope the receiver can break a tackle than force it into coverage and risk an interception.
Nobody was open because the noodle arm can't throw it deep so the defense can just cover a short field.
Totally wrong, especially at this point in the season and at this point in schaub a career. You throw it deep and pray for a catch. If it's intercepted, who cares?