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Related Experiment Video

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The Joint Effect of Social Comparison and Social Distance on Evaluation of Intertemporal Choice Outcomes in Event-related Potential Studies

The Joint Effect of Social Comparison and Social Distance on Evaluation of Intertemporal Choice Outcomes in Event-related Potential Studies

Published on: August 25, 2023

Automatic biases in intertemporal choice.

Wenjia Joyce Zhao¹, Adele Diederich², Jennifer S Trueblood³

¹University of Pennsylvania, Philadelphia, PA, USA. zhaowenj@sas.upenn.edu.

Psychonomic Bulletin & Review

|March 7, 2019

Summary

This summary is machine-generated.

Dual process theories suggest automatic preference for immediate rewards. This study models these biases in intertemporal decision-making, finding they vary significantly across individuals.

Keywords:

Automatic bias Computational modelling Drift diffusion model Dual process theories Intertemporal choice

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Area of Science:

Cognitive Psychology
Neuroeconomics
Behavioral Economics

Background:

Dual process theories posit automatic favoring of immediate rewards in intertemporal decision-making.
Understanding these automatic biases is crucial for explaining economic choices over time.

Purpose of the Study:

To implement dual process theories using a drift diffusion model.
To empirically investigate automatic biases in intertemporal choice behavior.

Main Methods:

Utilized a drift diffusion model to simulate automatic biases.
Incorporated biases in response initiation (starting point) and evaluation (drift rate intercept).
Fit the model to individual-level choice and response time data.

Main Results:

Automatic biases are prevalent in intertemporal decision-making.
The type, magnitude, and direction of these biases exhibit substantial individual differences.
Found significant evidence for both starting point and drift rate intercept biases.

Conclusions:

Automatic biases play a significant role in intertemporal choices.
Individual variability in biases challenges existing theories.
Highlights the need for more nuanced models of decision-making under delay.