Role of Emotion and Cognition on Age Differences in the Framing Effect

Framing effect studies indicate that individuals are risk averse for decisions framed as gains but risk-seeking for decisions framed as losses. Findings of age-related differences in susceptibility to framing are mixed. In the current study, we examined emotional arousal in two decision tasks (life saving vs. money gambling) to evaluate the effects of emotion on age differences in the framing effect. When cognitive abilities and styles were controlled, there was a framing effect in the younger group in the life-saving task, a high-emotional arousal task, while older adults did not display this classic framing effect pattern. They showed risk aversion in both positive and negative framing. Age differences existed in the framing effect. Conversely, younger and older adults in the money-gambling task both displayed the framing effect; there was no age difference. When the cognitive abilities were not controlled, the pattern of results in the high-emotional arousal task remained unchanged, while greater framing effects were found, from the perspective of effect size, for older than younger adults in the low-emotional arousal task. Limited cognitive resources would not hamper older adults' performances when their emotional arousal was high. However, older adults with low-level emotional arousal were more susceptible than younger adults to framing because of declining cognitive capacities. This implied the importance of emotion in older adults' decision making and supported the selective engagement hypothesis.