Save
Busy. Please wait.
Log in with Clever
or

show password
Forgot Password?

Don't have an account?  Sign up 
Sign up using Clever
or

Username is available taken
show password


Make sure to remember your password. If you forget it there is no way for StudyStack to send you a reset link. You would need to create a new account.
Your email address is only used to allow you to reset your password. See our Privacy Policy and Terms of Service.


Already a StudyStack user? Log In

Reset Password
Enter the associated with your account, and we'll email you a link to reset your password.
focusNode
Didn't know it?
click below
 
Knew it?
click below
Don't Know
Remaining cards (0)
Know
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.

  Normal Size     Small Size show me how

PSC100 CH9

Judgment and Decision Making

TermDefinition
psychological bias psychological factors affect our decision making , making us irrational times
predictably irrational our errors are systematic and reliable
thinking fast (system 1) decision making that operates quicly, with effort and less control
thinking slow (system 2) decision making that operates more slowly, with more effort and more deliberate control
heuristics mental shortcuts we take as part of thinking fast (system 1)
prior probabilities probability of an event before new data is collected
representativeness heuristic mental shortcut used to estimate the likelihood of an event based on how closely it matches or represents related examples or stereotypes
conjunction fallacy the false assumption that a combination of conditions is more likely than either condition by itself
law of sample size smaller sample sizes produce more variance
gambler's fallacy faulty reasoning that past events in a sequence affect the likelihood of future events
hot-hand effect perception of being "on a roll"
proportionality bias big consequences are always the result of the big causes
availability heuristic (bias) people estimate the frequency of an event based on how easily examples come to mind
anchoring how different starting points (initial values) produce different estimates or decisions
recognition heurisitc placing higher value on an alternative that is recognizable versus novel (eg. bad press is better than none)
fluency heuristic placing higher value to an option that is recognized most quickly and easily
one-clever-cue heuristic uses a single cue to decide (eg. pick closest coffee shop)
fast-and-frugal search use a small set of yes/no questions rather than a larger set of probabilistic cues
take-the-best-cue heuristic involves considering each cue serially and is a type of fast and frugal heuristic
tallying counting the number of cues that favor one alternative over another
subjective utility satisfaction obtained from a choice
risk probability of a negative outcome
rational choice theory we make rational, utility-maximizing decisions
prospect theory people treat the same dollar loss as psychologically larger than the same dollar gain
loss aversion people hate losses more than they enjoy equivalent gains; people tend to prefer a sure gain over risky gains
risk aversive people would rather take a sure gain than a risky option for slightly more money
risk seeking people are willing to lose more if the bet allows them a small chance of avoiding any loss
status quo bias preference for the current state of affairs
transaction costs time, effort, and resources needed for change
optimal defaults automatically place people into options that have the greatest benefits
endowment effect tendency to overvalue what one already has (ppl attach a premium to what they own or already know)
sunk cost effect tendency to continue a task once time, energy, and resources have been invested (which makes people lost more)
Created by: user-1752726
Popular Psychology sets

 

 



Voices

Use these flashcards to help memorize information. Look at the large card and try to recall what is on the other side. Then click the card to flip it. If you knew the answer, click the green Know box. Otherwise, click the red Don't know box.

When you've placed seven or more cards in the Don't know box, click "retry" to try those cards again.

If you've accidentally put the card in the wrong box, just click on the card to take it out of the box.

You can also use your keyboard to move the cards as follows:

If you are logged in to your account, this website will remember which cards you know and don't know so that they are in the same box the next time you log in.

When you need a break, try one of the other activities listed below the flashcards like Matching, Snowman, or Hungry Bug. Although it may feel like you're playing a game, your brain is still making more connections with the information to help you out.

To see how well you know the information, try the Quiz or Test activity.

Pass complete!
"Know" box contains:
Time elapsed:
Retries:
restart all cards