Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

PsyCoco > Problem 5 - decision making > Flashcards

Problem 5 - decision making Flashcards

1
Q

neglecting base rate

A
  • base rate info: relative frequency with which an event occurs or an attributer is present in the population
  • > often people ignore base rate info
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

heuristics and biases

A

-cognitively undemanding ad can be used very rapidly

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

fast and frugal heuristics (3)

A

1) representativeness
2) recognition
3) availability

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Availability heuristics

A
  • estimating the frequencies of events on the basis of how easy/difficult it is to retrieve relevant information from LTM
  • > availability-by-recall mechanism
  • > fluency mechanism
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Availability-by-recall mechanism

A
  • actually recalling stuff

- certain number of instances for example

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

fluency mechanism

A
  • judging something by deciding how easy it would be to bring relevant instances to mind
  • NOT actually retrieving them
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

representativeness heuristic

A
  • we estimate the likelihood of an event by comparing it to an existing prototype that already exists in our minds
  • prototype=what we think is the most relevant or typical example of a particular event or object

-assumption that representative or typical members of a category are encountered more often

BUT: Just because an event or object is representative does not mean its occurrence is more probable

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

example representativeness heuristic

A
  • you are given a description of an individual
  • estimate probability he/she has a certain occupation
  • > you would estimate probability in terms of similarity between individuals description and your stereotype of that occupation
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

conjunction fallacy

A
  • mistaken belief that the probability of a conjunction of two events (A and B) is greater than the probability of one of them (A or B)
  • seems to involve representativeness heuristics
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

recognition heuristic

A
  • if one of two objects is recognized and the other is not
  • > infer that the recognized object has the higher value with respect to the criterion
  • using take-the-best strategy
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

example recognition heuristic:

A
  • presenting 2 city names
  • > deciding which one is larger
  • we choose the city we know the name of as bigger even if we have no knowledge about the actual size
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

take-the-best strategy

A
  • 3 components
    1) search rule: search cues
    2) stopping rule: stop after finding a discriminatory cue
    3) decision rule: choose outcome
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Biases (5)

A

1) hindsight bias

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Biases (5)

A

1) hindsight bias
2) overconfidence
3) confirmation bias
4) omission bias
4) anchoring

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Confirmation Bias

A

-tendency to search only for information that confirm one’s initial beliefs or hypotheses

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Anchoring

A

-relying too much on an initial piece of information offered

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

overconfidence

A
  • rejecting any help
  • weighting own intuitions more heavily than objective information
  • people’s impression of their own accuracy inflated
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

framing (key word) effect

A

-the influence of irrelevant aspects of a situation (e.g. wording of the problem) on decision making

19
Q

loss aversion

A

-individuals are much more sensitive to potential losses than to potential gains

20
Q

illusionary correlation

A
  • falsely associated variables

- often due to prior associations in people’s minds

21
Q

Sunk Cost Effects

A

-tendency to continue something one has already invested time, money and effort into , even though that doesn’t affect the likelihood of future success

22
Q

phases of decision making (5)

A

1) set and revise goals
2) gathering info about options and consequences
3) decision structuring -> organizing all info and options
4) make final selection/ choice
5) evaluation -> good/bad processes of decision making

23
Q

phases of decison making (5)

A

1) set and revise goals
2) gathering info about options and consequences
3) decision structuring -> organizing all info and options
4) make final selection/ choice
5) evaluation -> good/bad processes of decision making

24
Q

descriptive models (5)

A

1) bounded rationality - thaler
2) image theory
3) prospect theory- kahneman
4) recognition-primed decision making
5) constructivist approach

25
Q

descriptive models (5)

A

1) bounded rationality - Thaler
2) image theory
3) prospect theory- Kahneman
4) recognition-primed decision making
5) constructivist approach

26
Q

Prospect Theory - Kahneman

-key word

A
  • decisions based on the evaluation of potential value of losses and gains ( as utility theory)
  • but includes individuals reference point ( emotions, framing point)
  • using heuristics
27
Q

utility models (2)

A
  • based on dominance principle
    1) expected utility theory
    2) multi-attribute utility theory (MAUT)
  • > integrating different dimensions and goals of complex decisions
  • > more complex than normal EUT
  • > people don’t use MAUT when too much info and too many dimensions available
28
Q

satisficing

A
  • simon
  • cognitive heuristic that entails searching through the available alternatives until an acceptability threshold is met
  • considering various options one at a time
  • select first one meeting minimum requirements
  • aims for satisfactory or adequate results rather than the optimal solution
  • > acceptability threshold
29
Q

nudging

A
  • steer people in particular direction while still allowing them to go their own way
  • alter ‘choice architecture’: the background against which choices are made
30
Q

simon, kahneman, thaler

A

-key names

31
Q

Expected utility model - Bernoulli

A
  • normative model of decision making
  • explains why most people are risk adverse
  • based on the assumption that everyone is rational
  • dominance principle
32
Q

how to calculate expected outcome - expected value

A

probability of each outcome x amount of money won/lost for that outcome
-> sum these values over all possible outcomes

EV (expected value) = (pi, probability of the ith outcome x vi, monetary value of the ith outcome)

33
Q

expected utility -calculation

A

-EU= (pixui)
-not all decisions involve monetary outcomes (values) but are rather useful for people (happiness, success etc)
=> utility of an outcome

34
Q

prospect theory - people don’t make their choices based on their expected gains because : (2)

A

1) individuals identify a reference point, that represents their current state (framing point)
2) individuals are much more sensitive to potential losses than to gains ( loss aversion)

35
Q

how uber influences drivers

A
  • nudging
  • internalized motivation
  • loss aversion
36
Q

normative models

A

-ideal performance under ideal circumstances

37
Q

prescriptive models

A

-how we ought to make decisions, provide guidance about how to do the best we can, even in non-ideal situations

38
Q

descriptive models

A

-detail what people actually do when making decisions

39
Q

dominance principle

A

?

40
Q

Gambler’s fallacy/ Monte Carlo fallacy

A

-mistaken belief that, if something happens more frequently than normal during a given period, it will happen less frequently in the future

41
Q

image theory - beach & Mitchell

A
  • descriptive model
  • people don’t follow structured decisions
  • most decision making is done during ‘pre choice screening of options’ -> boil down number of options under active consideration
  • > as weather plan/goal/alternative is compatible with 3 images
42
Q

3 images - image theory

A

1) Value images - decision maker’s values, morals, principles
2) Trajectory images - goals & aspiration for the future
3) Strategic image - way in which decision makers plan to attain his/her goals
- > options judged incompatible with at least one of images -> dropped from further consideration

43
Q

omission bias

A

..

PsyCoco (27 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions