Premium
Experiential Limitation in Judgment and Decision
Author(s) -
Hahn Ulrike
Publication year - 2014
Publication title -
topics in cognitive science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.191
H-Index - 56
eISSN - 1756-8765
pISSN - 1756-8757
DOI - 10.1111/tops.12083
Subject(s) - rationality , irrational number , randomness , experiential learning , perception , psychology , sampling (signal processing) , statistics , computer science , cognitive psychology , social psychology , epistemology , mathematics , philosophy , geometry , mathematics education , neuroscience , filter (signal processing) , computer vision
The statistics of small samples are often quite different from those of large samples, and this needs to be taken into account in assessing the rationality of human behavior. Specifically, in evaluating human responses to environmental statistics, it is the effective environment that matters; that is, the environment actually experienced by the agent needs to be considered, not simply long‐run frequencies. Significant deviations from long‐run statistics may arise through experiential limitations of the agent that stem from resource constraints and/or information‐processing bounds. The article draws together recent work from a number of areas in judgment and decision making ranging from randomness perception (Hahn & Warren, [Hahn, U., 2009]), information sampling (Hertwig & Pleskac, [Hertwig, R., 2010]; Kareev et al., [Kareev, Y., 1992]), and consequences of choice for exploration or exploitation (e.g., Denrell, [Denrell, J., 2007]) to demonstrate how proper consideration of these deviations leads to reevaluation of behaviors that are otherwise deemed irrational.