PSY 24000 Lecture Notes - Lecture 4: Status Quo Bias, Omission Bias, Time Preference
Document Summary
Whittling the full range of choices down to a limited few. Typically researchers study how someone chooses among a few major options, instead of focusing on how someone reduces a large set of choices down to a few. Decisions are subject to bias, errors and other influences possible gains. Risk aversion: in decision making, the greater weight is given to possible losses than. Ppl dont want to bet bc of the prospects of losing money outweighs the prospect of winning the same amount, even though the odds are exactly equal. Ppl more worried about losing than they were attracted by the possibility of winning. Temporal discounting: in decision making, the greater weight given to the present over the future. What happens rn is more important than future. Rather having 1000 today or 1200 in 2 weeks, ppl chose the first one. Certainty effect: in decision making, the greater weight given to definite outcomes than possibilities.
