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Another way in which a group presence can affect performance is social loafing—the exertion of less effort by a person working together with a group. Social loafing occurs when our individual performance cannot be evaluated separately from the group. Thus, group performance declines on easy tasks (Karau & Williams, 1993). Essentially individual group members loaf and let other group members pick up the slack. Because each individual’s efforts cannot be evaluated,...
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Relative risk (RR) is a statistical measure commonly used in epidemiology to compare the likelihood of a particular event occurring between two groups. This metric is important for evaluating the relationship between exposure to a specific risk factor and the probability of a particular outcome. It plays a crucial role in medical research, public health studies, and risk assessment. Relative risk quantifies how much more (or less) likely an event is to occur in an exposed group compared to an...
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Related Experiment Video

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Measuring the Subjective Value of Risky and Ambiguous Options using Experimental Economics and Functional MRI Methods
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Risky effort.

Alice Mason1, Yongming Sun2, Nick Simonsen3

  • 1Department of Psychology, University of Bath, UK.

Cognition
|July 21, 2024
PubMed
Summary
This summary is machine-generated.

People

Keywords:
Decisions-from-descriptionEffortFourfold patternRisky choice

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Area of Science:

  • Cognitive psychology
  • Decision science
  • Behavioral economics

Background:

  • Decision-making research traditionally examines risk-reward or effort-reward trade-offs.
  • Limited understanding exists on how risk in effort levels impacts choice and risk preferences.
  • Effort is a critical factor in many real-world decisions, yet its risk properties are understudied.

Purpose of the Study:

  • To investigate how risk associated with effort influences decision-making and risk preferences.
  • To examine the impact of magnitude and probability changes on effort-based risk attitudes.
  • To understand the heterogeneity in how individuals perceive and value effort in choices.

Main Methods:

  • Two experiments assessed participants' risk attitudes specifically for effort-based decisions.
  • A control experiment utilized monetary gambles to compare with effort-based choices.
  • Analysis focused on how magnitude and probability influenced risk-taking behavior concerning effort.

Main Results:

  • Individual valuation of effort correlated with distinct patterns of risk preferences.
  • Unlike monetary decisions, effort-based risk preferences showed significant heterogeneity among participants.
  • A 'flipped' interaction pattern of risk preferences was observed in individuals treating effort as costly.

Conclusions:

  • The perception of effort as a loss of resources significantly shapes risk preferences for effort.
  • Most individuals treat effort as a loss, leading to increased risk-taking to avoid high effort.
  • Understanding effort-based risk preferences is crucial for a comprehensive model of decision-making, especially when effort is perceived as a cost.