CLOA - Biases in Thinking and Decision-Making Flashcards
1
Q
Heuristics
A
- Mental shortcuts
- Simple rule applied with little to no thought and quickly generates a “probable” answer.
- Result in systematic errors called cognitive biases: Patterns of thinking and decision-making which are consistent, but inaccurate
- Useful as they help us save energy (don’t have to meticulously analyse all aspects of situation every time we are faced with a choice, based on experience so you used them before and worked well)
2
Q
Reasons why biases occur
A
- Tendency to focus on limited amount of available information (selective attention) based on our schemas
— Anchoring bias, peak-end rule, and framing effect - Tendency to seek out information that confirms pre-existing beliefs
— Confirmation bias - Tendency to avoid the mental stress of holding inconsistent cognitions
— Cognitive dissonance
3
Q
Anchoring bias
A
- Tendency to rely too heavily on the first piece of information offered (the “anchor”) when making decisions
- Occurs when individuals use an initial piece of information to make subsequent judgements
- Englich and Mussweiler (2001) – Anchoring bias in courtrooms
- Tversky & Kahneman (1974) – Anchoring bias with numbers
4
Q
Peak-end rule
A
- Heuristic in which people judge and experience largely based on how they felt at its peak (most intense point) and at its end, rather than on the total sum or average of every moment of experience
- Occurs regardless of whether experience is pleasant or unpleasant
- Kahneman et al (1993) – Peak-end rule in physically painful situations
5
Q
Framing effect
A
- Heuristic in which people react to choices depending on how they are presented or “framed”
- Explains that humans prefer certain outcomes when information is framed in positive language but prefer uncertain outcomes when the same information is framed in negative language
- Tversky and Kahneman (1981/1986) – Framing effect in choosing between 2 alternatives to save lives
