Gerd Gigerenzer Does Logically Incoherent Decision-Making Really Have Negative Consequences?
© Maximilian Dörrbecker
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As explained in this video it is commonly assumed that logically incoherent decision-making is irrational and costly in that it can lead e.g. to a decrease in happiness or health. An example for this would be a patient reacting differently if doctors speak of a 90% success rate of a surgery instead of a 10% failure rate for the same procedure. The purpose of the study presented here was to examine if there is proof in the existing literature that incoherent decision-making actually has negative consequences and is rightly seen as irrational. According to GERD GIGERENZER the findings suggest that the above mentioned assumption is not correct and that rationality needs to be re-defined in moving away from being based on strictly mathematical probabilities to taking context into account.
LT Video Publication DOI: http://dx.doi.org/10.21036/LTPUB10288
How Bad is Incoherence?
- Hal R. Arkes, Gerd Gigerenzer and Ralph Hertwig
- Published in 2016