thinking and desicion making

Question 1

thinking

Answer 1

the process of modifying and producing new information

Question 2

decision making

Answer 2

selecting one of the possible beliefs or actions

Question 3

system 1

Answer 3

fast and unconscious process that is prone to error and biases
- useful for survival
- cant be turned off

Question 4

system 2

Answer 4

slow and concilia judgment that is more reliable

Question 5

Kahneman and Traversky (1975)

Answer 5

• to see if people rely on intuitive thinking more than rationa l thinking
• participants were given a scenario of two hospitals in a town. The larger hospital has 45 babies born each day, and the smaller one 15. participants were reminded that the ratio of genders is usually 50/50. for 1 year both hospitals recorded how many days had a ratio higher than 60% of one gender born. participants were asked which hospital recorded more of these days
• 78% of participants got the answer wrong. 56% said about the same. pie-kale were using the 50/50 rate as reference, but the answer was the smallest one due to statistical probability, since it suggest that the larger the sample size, the closet to the average
• participants used system 1 more than system 2 as it is commonly used to solve problems, but can lead to errors