This paper will add to an evolving new paradigm for financial decision-making by exploring the important roles that intuition, heuristics, and impulses play as a bridge between how the conscious and unconscious can wo...This paper will add to an evolving new paradigm for financial decision-making by exploring the important roles that intuition, heuristics, and impulses play as a bridge between how the conscious and unconscious can work together more effectively in making better decisions. Historically, the roles of financial/accounting theory and cognitive psychology have been extensively studied and documented in attempting to explain individual financial decision-making. More recently, neuroscience has made substantial contributions to learning how prospective financial decisions and outcomes affect brain activity and observed decision-making behavior. The evidence from neuroscience indicates that up to 90% of our decisions are initiated at the unconscious level, which is only beginning to be investigated in a systematic manner. Integrating these findings from multiple disciplines, including recent contributions from neuroscience, has many implications, not only with respect to personal and corporate financial decisions and how markets work, but also as an essential component in the tool box of the general decision maker.展开更多
We consider a behavioural model of an animal choosing between two activities, based on positive feedback, and exa- mine the effect of introducing cross inhibition between the motivations for the two activities. While ...We consider a behavioural model of an animal choosing between two activities, based on positive feedback, and exa- mine the effect of introducing cross inhibition between the motivations for the two activities. While cross-inhibition has pre- viously been included in models of decision making, the question of what benefit it may provide to an animal＇s activity selection behaviour has not previously been studied. In neuroscience and in collective behaviour cross-inhibition, and other equivalent means of coupling evidence-accumulating pathways, have been shown to approximate statistically-optimal decision-making and to adaptively break deadlock, thereby improving decision performance. Switching between activities is an ongoing decision process yet here we also find that cross-inhibition robustly improves its efficiency, by reducing the frequency of costly switches between behaviours .展开更多
文摘This paper will add to an evolving new paradigm for financial decision-making by exploring the important roles that intuition, heuristics, and impulses play as a bridge between how the conscious and unconscious can work together more effectively in making better decisions. Historically, the roles of financial/accounting theory and cognitive psychology have been extensively studied and documented in attempting to explain individual financial decision-making. More recently, neuroscience has made substantial contributions to learning how prospective financial decisions and outcomes affect brain activity and observed decision-making behavior. The evidence from neuroscience indicates that up to 90% of our decisions are initiated at the unconscious level, which is only beginning to be investigated in a systematic manner. Integrating these findings from multiple disciplines, including recent contributions from neuroscience, has many implications, not only with respect to personal and corporate financial decisions and how markets work, but also as an essential component in the tool box of the general decision maker.
文摘We consider a behavioural model of an animal choosing between two activities, based on positive feedback, and exa- mine the effect of introducing cross inhibition between the motivations for the two activities. While cross-inhibition has pre- viously been included in models of decision making, the question of what benefit it may provide to an animal＇s activity selection behaviour has not previously been studied. In neuroscience and in collective behaviour cross-inhibition, and other equivalent means of coupling evidence-accumulating pathways, have been shown to approximate statistically-optimal decision-making and to adaptively break deadlock, thereby improving decision performance. Switching between activities is an ongoing decision process yet here we also find that cross-inhibition robustly improves its efficiency, by reducing the frequency of costly switches between behaviours .
