1. THINKING, DECISION MAKING AND THEIR RELIABILITY
IB Psychology LAJM

2. Thinking and decision-making
Thinking modifies information
E.g. analysis, synthesis and categorization
Generates new knowledge
Decision-making is about making a choice between alternatives
Before we can choose, we must think about different alternatives

3. Thinking and decision-making
Normative models
Describe the way thinking should be (e.g. formal logic)
They assume that unlimited time and resources are available
Descriptive models
Show what people actually do when they think
Can be compared to normative models

4. META-ANALYSIS IS A STUDY OF STUDIES
TASK
Read pages and complete the teacher’s handout
META-ANALYSIS IS A STUDY OF STUDIES

5. Thinking and decision-making
Adaptive decision-maker framework (Payne, Bettman and Johnson, 1993)
Recognizes that emotions may influence thinking and decision-making
Humans don’t always try to make rational choices

6. TASK
Read pages 154–155 and familiarize yourself with the four strategies of decision-making according to adaptive decision-maker framework
Do the exercise box on page 155

7. TASK
Read pages 155–157 and familiarize yourself with the four strategy selection principles according to adaptive decision-maker framework
How have you implemented these principles in your everyday life?

8. Thinking and decision-making
Theory of reasoned action (TRA) is a macro-level model
Focuses on choice outcomes and characteristics that predict these outcomes
Adaptive decision-maker framework is a micro-level model
Focuses on the process of making a decision and strategies being used when processing information

9. TASK Form small groups and do the exercise box on page 158
Make a schematic representation of Luce, Bettman and Payne (1997) study

10. Biases in thinking and decision-making
Heuristics
Shortcuts in thinking and decision-making
Save time and energy
Are based on experience
Lead usually to cognitive biases

11. TASK Alan: Ben: intelligent industrious impulsive critical stubborn
envious
Ben:
envious
stubborn
critical
impulsive
industrious
intelligent

12. TASK Alan: Ben: WHICH ONE DID YOU VIEW MORE FAVOURABLE? ALAN OR BEN?
intelligent
industrious
impulsive
critical
stubborn
envious
Ben:
envious
stubborn
critical
impulsive
industrious
intelligent
LOOK AGAIN!

13. Biases in thinking and decision-making
Daniel Kahneman (2011): Thinking, Fast And Slow
Humans have two independent cognitive systems that operate sequentially

14. Biases in thinking and decision-making
System 1
Operates automatically and quickly, with little or no effort and no sense of voluntary control
Thinking is fast, intuitive and unconscious
Cognitive ease
System 2
Allocates resources to the effortful mental activities that demand concentration
Thinking is slow, analytical and conscious
Cognitive strain

15. Biases in thinking and decision-making
Common causes of intuitive system 1 thinking
The tendency to focus on limited amount of information
The tendency to seek out information that confirms pre-existing beliefs
The tendency to avoid mental stress of holding inconsistent cognitions

16. GROUP PROJECT Form six groups Each group is given one cognitive bias
Each group compiles a small presentation, presents it and uploads it to OneNote
Remember to mark your sources
Define and describe the bias with effective examples
Explain and evaluate one study that has researched the bias
Give instructions on how to avoid the bias

17. GROUP PROJECT GROUP 1: Asymmetric dominance (171–172)
GROUP 2: Framing effect (172–173)
GROUP 3: Confirmation bias (173–174)
GROUP 4: Congruence bias (174–175)
GROUP 5: Illusory correlations and implicit personality theories (176–177)
GROUP 6: Cognitive dissonance (177–178)

18. TASK Watch the following video on irrational decision making

19. TASK Is human thinking and decision-making reliable?
On what basis they are?
On what basis they are not?
Can you trust your abilities in thinking and decision-making?

20. Sources
Kahneman, D. (2011). Thinking, Fast And Slow. Great Britain: Penguin Books.
Parker, L., Popov, A. & Seath, D. (2017). Psychology Course Companion (2nd Edition). Oxford: Oxford.

21. Picture sources
Meta-analysis < Accessed 19th of February 2018.
Emoji < accessed 19th of February 2018.
Decision < Accessed 19th of February 2018.
Group of emojis < Accessed 19th of February 2018.
Rule of thumb < Accessed 19th of February 2018.
Daniel Kahneman < Accessed 19th of February 2018.
Laurie Santos < Accessed 19th of February 2018.
Rodin’s thinker < Accessed 19th of February 2018.