Society for Judgment and Decision Making

1997 Annual Meeting Poster Presentations

Poster Session #1

P1-1. Lehman BENSON III, Markus GROTH, & Lee Roy BEACH (The University of Arizona)

In pursuit of a model of perceived time pressure.


The relationship between time constraints for task completion and reported perceptions of time pressure were examined. The first experiment found that rated perceived time pressure (PP) was a function of the ratio, Rr/Ra, of required time (Rr) and available time (Ra), and that two alternative measurement methods yielded highly similar ratings. The second experiment showed that the importance of the task can be represented as PP = (Rr/Ra) + i, where i represents task importance. Implications and suggestions for future research are discussed.

P1-2. David H. EBENBACH, Colleen F. MOORE, & Jessica GERSHAW (Dept. of Psychology, Univ. of Wisconsin-Madison)

Assuming the worst: Environmental decisions in the context of missing information.


Across 2 studies, participants made decisions in environmental dilemmas. In each study, complete or incomplete information was given about three factors (local effects, ecosystem risks, economic effects, etc.). Participants also rated the importance of factors, and their assumptions about incomplete information. Results indicated that participants' assumptions about missing information strongly affected the way they used available information, as well as their ultimate decisions. Our findings imply that people facing difficult environmental problems may base decisions not only on available facts, but also on important but missing information.

P1-3. Cheryl Brown TRAVIS, Danny S. MOORE (Univ. of Tennessee), & Bruce E. TONN (Oak Ridge National Laboratory)

Building a tool for environmental decision making.


The Environmental Problem Inventory is a tool devised by researchers at the NSF National Center for Environmental Decision Making Research to assist in the first steps of environmental decision making. Dimensions of the inventory include ecological impact, health effects, economic considerations, identification of stakeholders, and regulatory issues as well as other factors. Results of a factor analysis of the Environmental Problem Inventory encompassing over 500 environmental problems at the local, state, and regional level indicated that information from both the natural and social science realms is necessary for issue diagnosis and problem characterization.

P1-4. Osvaldo F. MORERA (Survey Research Laboratory, Univ. of Illinois at Chicago)

A psychometric assessment of the divide and conquer principle in multiattribute decision making.


The principle of "divide and conquer" (DAC) suggests that decomposing multiattribute decisions enhances decision quality relative to holistic decision making (Ravinder & Kleinmuntz, 1991; Fischer 1977; Ravinder, 1992). Other evidence suggests that this generalization is dependent upon the choice of the criterion variable (Cornelius & Lyness, 1980; Lyness & Cornelius, 1982). A new comprehensive experimental framework designed to test the validity of the DAC principle was developed. Results from a recent study using the SMARTS procedure (Edwards & Barron, 1994) indicate that the generality of the DAC principle is indeed dependent upon the choice of the criterion variable.

P1-5. Holly ARROW (Dept. of Psychology, Univ. of Oregon), & Jonathan A. RHOADES (Dept. of Psychology, New York Univ.)

Face-to-face and computer-mediated decision-making in established groups.


This study examines the role of membership change and communication medium in group decision-making. Thirty established groups completed a hidden profile task either face to face or via computer. Each group had a "guest" member visiting from another established group. First, members individually reviewed materials on 20 job applicants, took notes, and decided which candidates fit their assigned criterion best. Next, the group discussed the candidates and made final recommendations. Results indicate that guests showed performance deficits similar to those observed for gender tokens (Lord & Saenz, 1985). Information processing strategies differed across communication media, but performance quality did not.

P1-6. Xiao-Ping CHEN (Dept. of Management of Organizations, Hong Kong Univ. of Science and Technology)

The effects of past group performance and the provision of public goods: Perceived criticality, group identity, and conformity.


This study investigated the effects of other members' behavior in the past on new members' cooperative choice in a step-level public goods dilemma. A newly developed experimental paradigm enabled us to test three major hypotheses in explaining high cooperation rates in social dilemmas: the group identity hypothesis, the perceived criticality hypothesis, and the conformity hypothesis. 168 business students participated in a laboratory experiment. The results suggest that (1) perceived criticality is more effective than group identity or perceived group norm in inducing cooperation; (2) group identity is necessary but not sufficient in evoking cooperation; and (3) group identity moderates the effect of perceived group norm on members' choices: Members conform to group cooperative norms when they highly identify with their group. The implications of these findings are discussed.

P1-7. Daniel GIGONE (Fuqua Sch. of Business, Duke Univ.)

Group discussion and small group decision making: Effects of task and subjective meaning of information.


The study explores issues related to the assumption that discussion content affects group decisions: What determines discussion content and what is the relationship between discussion content and decisions? The study also explored task differences. Groups judged fictional candidates. Members rated the value and weight of facts before and after each group decision. Task differences were few. Groups discussed facts with high weight ratings and facts about which members disagreed. After discussion, members agreed about facts which were discussed. Discussion did not predict group judgments, controlling for members' judgments. The findings are related to a model of group discussion and decisions.

P1-8. Joann L. KRAUSS (Dept. of Management & Systems, Washington State Univ.)

Improving individual decision-making during organizational crisis: A preliminary investigation.


Organizational crises are unexpected events that require an urgent decision. The characteristics of a crisis, urgency, ambiguity, uncertainty, and complexity, increases individual stress and hampers an individual's ability to make a decision. This poster session will examine two alternative methods of improving individual decision-making during crisis. It is hypothesized that individuals who receive training in either method will perform better on a crisis decision task than individuals who receive no training. It is further hypothesized that individuals who receive training in creative analysis will perform better on a crisis decision task than individuals who receive training in crisis management planning.

P1-9. R. Scott TINDALE (Loyola Univ. Chicago), Joseph FILKINS (DePaul Univ.), & Susan SHEFFEY (Jewish Vocational Services)

Perceptions of processes in decision-making groups.


Certain models of group decision making imply that some aspects of group process (e.g., majority effects) stem from shared norms about how groups operate. Two studies were conducted to assess whether potential group members had accurate perceptions of group processes. Results indicated that participants underestimated the power of faction size for juries and underestimated the power of correct alternatives for problem-solving groups.

P1-10. George CVETKOVICH, & Ryan O. MURPHY (Dept. of Psychology, Western Washington Univ.)

The asymmetry principal of trust: Disconfirming evidence.


Trust occurs when an individual allows another person or organization to make decisions for him/her. Slovic (1993) indicates that trust is asymetrical -- it is easier to loose it than to gain it. "Trust-increasing" and "trust decreasing" events used by Slovic were paired together. The asymmetry principal leads to the expectation, not confirmed in this study, that two-event descriptions, since they contain a trust decreasing event, should produce lower trust judgments than do single trust-increasing descriptions. The present evidence suggests that a trust impression, once initiated, tends to affect the meanings given to subsequently learned information.

P1-11. Maurice SCHWEITZER (Dept. of Management, Sch. of Business Administration, Univ. of Miami)

Omission, friendship, and fraud: Lies about material facts in negotiations.


Deception poses a particularly important problem for negotiations. Negotiators typically possess asymmetric information and can gain an advantage by misleading others. While some types of lies have been condoned, such as lies about reservation prices, both ethicists and legal scholars have classified lies about materially relevant facts as unacceptable. Results from this work, however, reveal that lies about material facts are pervasive in negotiations. Negotiators are more likely to lie by omission than commission, are more likely to lie to strangers than friends, and are particularly likely to lie to strangers who do not ask probing questions.

P1-12. David J. WEISS (California State Univ., Los Angeles), & Anthony D. ONG (Univ. of Southern California)

The truth is in there.


In estimating the frequencies of behaviors not carried out in public view, researchers accept the accuracy of respondents' reports. We explored two factors expected to influence the decision to reveal, anonymity vs. confidentiality and framing the question so that a behavior is reputedly commonplace or rare. A key feature was the inclusion in our survey of a socially disapproved behavior (cheating) for which we had validational information. The privacy variable had an enormous impact; of those who had cheated, 25% acknowledged having done so under confidentiality, but 74% admitted the behavior under anonymity. Question framing had no effect.

P1-13. Lyn M. VAN SWOL (Univ. of Illinois at Urbana-Champaign)

The effects of task type, interaction type, and expertise on acceptance of advice.


Study examines effects of task type (intellective[math]/judgmental[movie review]), advisor expertise (high/low), and interaction (face-to-face/through writing) on a decision-maker's (DM) acceptance of an advisor's advice. Advisor's confidence was highly correlated with DM's acceptance of advice, and DM's matched advisor's advice significantly more when the advisor had high expertise, especially for the intellective task. When interacting face-to-face, participants had higher group identity, and DM's had more trust and confidence in advisors and thought advisors were more honest and competent. DM's had a significantly harder time understanding advice when it was given through writing by a low-expertise advisor.

P1-14. Russell S. COOPER, & Susan LEVENE (Dept. of Psychology and Family Studies, United States International Univ.)

Cultural effects on confidence and information search in decision-making.


Past research demonstrated that consensus (or lack thereof) among information sources affects the information search process (Cooper and Sniezek, 1995) such that less information is sought and confidence is higher. The current study considers the effect of the cultural variable of individualism/collectivism (Hofstede, 1980). The prediction is one of an interaction between consensus and individualism and collectivism. Specifically, the normative influence of consensus will have greater effect on people who adhere to collectivistic values. The study was a quasi-experimental design with consensus manipulated and individualism/collectivism assessed for each participant. Results and implications are discussed.

P1-15. Seth HAMMER (Dept. of Accounting, Coll. of Business and Economics, Towson Univ.)

Ambiguity and safe harbors: Determining whether to claim a home office deduction.


An experiment was conducted which found that under high ambiguity tax reporting conditions, tax professionals perceive that clients would be decreasingly likely to claim a home office deduction as dollar levels of the expense increased, even where the expenditures are believed to have met the Internal Revenue Service's "realistic possibility of success" standard, which precludes the imposition of penalties against either taxpayers or preparers. The study provides findings consistent with Howard Raiffa's argument (1961) that under conditions of high ambiguity, decision making is based largely on individual temperament.

P1-16. Matthew H. OLSON, & Emily STARK (Dept. of Psychology, Hamline Univ.)

Personality factors and decision making.


80 undergraduate students completed the NEO-PI personality assessment, and scores on traits of neuroticism, extraversion, openness, agreeableness and conscientiousness were recorded. Two weeks later, all participants indicated their answers to decision scenarios involving risk aversion, risk seeking, likelihood estimation, susceptibility to the conjunction fallacy, and belief in "good luck." Results indicated that personality factors, particularly extraversion-introversion, may help to account for some but not all variability commonly observed in judgment and decision data.

P1-17. Michael SIEPMANN, Jonathan BARON, Karen STEINBERG, & John SABINI (Univ. of Pennsylvania)

Individual differences in attitudes toward one's own wishful thinking.


Subjects judged the probabilities of eight desirable and eight undesirable statements about their future, and then indicated the probabilities they would have assigned if they thought the way they would ideally like to think. They also provided reasons for discrepancies between initial and ideal probabilities, and indicated how strongly they wanted each statement to be true or false. Some subjects consistently felt they would ideally think more optimistically; some more pessimistically. We explored correlations with psychological well-being, and distinctions among subjects' ideals of accuracy, effective goal achievement, and psychological well-being.

P1-18. Karen STEINBERG (Univ. of Pennsylvania)

Regret-proneness and decision style: Evidence for individual differences.


These studies examined whether people's degree of regret over their decisions and difficulty making them varies dispositionally, not just situationally. Subjects completed the Decision-Style Questionnaire (DSQ)--a measure that operationalizes regret-proneness and decision style through questions about hypothetical decision scenarios--and answered DSQ-based questions about actual decisions to take a particular course and to attend a particular college. Regret-proneness and decision style were consistent over a 1-month period and across the assessed domains, suggesting that they may constitute a stable individual difference.

P1-19. David A. WASHBURN (Center of Excellence for Res. on Training, Morris Brown Coll., and Dept. of Psychology, Georgia State Univ.), Harold H. GREENE (Center of Excellence for Res. on Training, Morris Brown Coll.), & R. Thompson PUTNEY (Center of Excellence for Res. on Training, Morris Brown Coll., and Dept. of Psychology, Georgia State Univ.)

Individual differences in attention and shoot/don't-shoot judgment skills.


Students were tested with a battery of 18 tasks to determine individual differences across basic dimensions of attention, and on a series of shoot/don't-shoot scenarios in a firearms training simulator. The sensitivity of threat detection (d') was reliably predicted by measures of scanning (RSVP and visual search), decision time, and dual-task disruption. Response bias was significantly predicted by workload measures and the continuous performance task. Each regression model accounted for over half of the respective variance. Thus, accurate shoot/don't-shoot judgments were reliably associated with rapid scanning of visual attention, fast mental speed, and sustained attention.

P1-20. Rebecca J. WHITE, Nancy E. BRIGGS, & Ching-Fan SHEU (DePaul Univ.)

Gender effect in judging self-performance.


This study investigates how individuals evaluate their performance as well as that of others in a group. Participants individually worked on three crossword puzzles in a room with seven other people. The groups varied in gender composition. The puzzles varied in film categories. This task is chosen in contrast to previous research on self-evaluation of academic performance. Participants estimated how many items they completed, as well as the average number the group completed. Preliminary results show participants over-estimated their performance, males more so than females. We found no effect for gender on group composition or task content.

P1-21. Gwen GRAMS, Robert TRACY, Ching-Fan SHEU, & Fred HEILIZER (DePaul Univ.)

Self deception in perception of personal appearance.


This study examines three hypotheses: (1) that people create favorable self deceptions or illusions given motive and opportunity; (2) that this tendency is associated with healthy psychological functioning; and (3) that deception will decrease when the level of perceptive distortion required by the task exceeds a noticeable difference. To test these suppositions, each experimental participant was asked to rate a series of photographs that included an original, unaltered photo of the participant with six other photos that were altered to be either more or less attractive than the original. Results showed participants disproportionately rated both the altered and the unaltered photos as "less attractive" than themselves; and these differences were associated with higher self esteem and depression scores. Further, participants tended to give unaltered ("real self") photos higher attractiveness ratings (relative to the altered photos), than did independent observers. Yet, many participants attenuated use of

P1-22. Janet A. SCHWARTZ (Dept. of Psychology, Rutgers Univ.), & William P. NEEDHAM (Dept. of Psychology, Purchase Coll., SUNY)

Hypothetico-deductive reasoning and formal operations: A reinvestigation of Wason's THOG task.


Recent research has suggested that performance on concrete versions of Wason's abstract classic THOG task might be mediated by cognitive development, as well as contextual presentation. The purpose of this study was to reinvestigate Wason's question with the classic THOG task and ask whether hypothetico-deductive reasoning ability is related to formal operations. Seventy-two undergraduates completed the classic THOG task, the Executioner problem (Needham & Amado, 1995), and six formal reasoning tasks. A significant correlation between formal operations score and performance on the THOG tasks was found, indicating that performance on the THOG task is mediated by both contextual presentation and cognitive development.

P1-23. Marcelle A. SIEGEL (Graduate Group in Science and Mathematics Education, Univ. of California at Berkeley)

Teaching high school students with Convince Me software: Decision as scientific theory building.


High school students in an issue-oriented science class (SEPUP) learned to make decisions using Convince Me (CM) software. CM possesses a connectionist model of explanatory coherence theory. Students entered "hypotheses" and "evidence" and linked these with positive or negative weights. CM assisted students in constructing a scientific argument while providing them with simulation-based feedback about the coherence of their decision. CM students significantly distinguished between hypotheses and evidence. They improved the structure of their arguments after receiving feedback from CM. Student work was also compared with a SEPUP control class which did not use CM.

P1-24. Julie GOLDBERG (Dept. of Psychology, Univ. of California, Berkeley), & Baruch FISCHHOFF (Dept. of Social and Decision Sciences, Carnegie Mellon Univ.)

Perceived and experienced risks and benefits of potentially addictive activities.


Young people face an array of potentially addictive activities. Their decisions regarding these activities may depend on their judgments of the probabilities and magnitudes of possible positive and negative consequences. This study examined whether misperceptions about the experience of addiction influence the decision to use drugs. Survey results indicate that underestimation of both the risk of addiction and the pleasure of using drugs is related to problematic drug-use. Similarly, beliefs about the consequences of engaging in potentially addictive activities were related to judgments about actual drug-use. These findings provide insight into the potential positive and negative effects of informational interventions.

P1-25. Christine M. CAFFRAY, & Sandra L. SCHNEIDER (Dept. of Psychology, Univ. of South Florida)

Enhancing positive and reducing negative affective states as motivators in adolescent risky behaviors.


Adolescents decide to participate in many risky behaviors that may have life-altering consequences. Adolescents' outcome expectations about the desired states that may be achieved or avoided by engaging in risky behaviors represent important precursors to these decisions. We found that a group of adolescents who chronically engaged in risky behaviors held stronger beliefs that the reduction of several negative affective states (e.g., depression, boredom) and the enhancement of positive affective states (e.g., good time) motivated their participation in risky behaviors. In contrast, the group who were less inclined to participate in risky behaviors were more focused on the negative consequences of those behaviors.

P1-26. Janis E. JACOBS (Pennsylvania State Univ.)

Developmental changes in the use of base rates and heuristics.


Earlier studies with children have shown that the use of the representativeness heuristic increases across middle childhood (e.g., Davidson, 1995; Jacobs & Potenza, 1991). The current study extended that work by manipulating the base rate ratios to determine the conditions under which children would use quantitative versus heuristic information. In a sample of 200 subjects of ages 4, 6, and 8, we found that judgments of the youngest children were not significantly affected by changes in ratio or instruction, but that those of the older children were significantly affected by both, so that they gave the most accurate judgments when they looked at disparate ratios and heard the base rate instructions.

P1-27. Ambrocio Mojardin HERALDEZ, Charles J. BRAINERD, & Valerie F. REYNA (Univ. of Arizona)

Children's spontaneous false memories.


Six-, nine-, and twelve-year-olds listened to a series of sentences and received immediate, one-week, and one-month delayed recognition tests. Test items included targets and three types of distractors with different degrees of semantic relationship to targets. Prior memory tests both preserved true memories (hits) and created false memories (false alarms) on later tests. False memories were more persistent over time than true memories. All effects increased with age. These results are interpreted in terms of fuzzy-trace theory's analysis of judgement processes in children eyewitness testimony.

P1-28. Lilian M. STEIN, & Valerie F. REYNA (Univ. of Arizona)

False memories and judgments in a juror-type situation: Fuzzy-trace theory analysis.


Theorists have made contradictory predictions about effects of repetition on memory for narratives. These contradictions are explained by fuzzy-trace theory. To test this explanation, a juror-type situation was created where participants were presented with either one, two or eight witnesses' versions of the same event. Two events were presented, counterbalancing order. As predicted, contradictory effects of repetition were obtained on recognition tests for decisions about verbatim statements versus implications made either consistently or inconsistently by different witnesses about the same event. Applications of fuzzy-trace theory to false memories and judgment processes will be discussed.

P1-29. Ronald L. WOODARD, & Valerie F. REYNA (Informatics and Decision Making Lab., Univ. of Arizona)

Memory-reasoning independence in covariation judgment: A fuzzy-trace theory analysis.


This study investigates the relation between memory and reasoning using a covariation estimation task of alpha-numeric stimuli, followed by a memory probe for the input information. Stimulus pairs are of targets and distractors that are consistent, ambiguous, or inconsistent with regard to the overall relation of the stimuli. Memory performance was such that the proportion of affirmative responses was greater for consistent pairs than for inconsistent pairs across targets and distractors (reconstruction from gist), and greater for targets than for distractors across consistent and inconsistent pairs (verbatim memory for the input information), supporting predictions of Fuzzy Trace Theory.

P1-30. Michael R. P. DOUGHERTY (Univ. of Oklahoma), Rickey P. THOMAS (Kansas State Univ.), Charles F. GETTYS, & Eve E. OGDEN (Univ. of Oklahoma)

The conjunction error as a memory retrieval phenomenon.


This research examined MINERVA-DM's account of the conjunction error. Participants were trained on the frequency of various traits in a population of fictitious animals. The probability of each trait characteristic was determined a priori. Participants rated the probability of each trait individually, e.g., P(A), P(B), and the conjunctions, e.g., p(A&B). Experiment 1 found that people commit the conjunction error when judgments are based on memory. Participants in experiment 2 made either frequency estimates (frequency format) or probability estimates (probability format). The frequency format decreased, but did not eliminate, the number of errors made, even when participants reported using their memory. Results of both experiments support MINERVA-DM.

P1-31. H. David SMITH (Middlebury Coll.), Mark F. STASSON (Virginia Commonwealth Univ.), & William G. HAWKES (Sch. of Medicine, Univ. of Maryland)

Diagnosticity and the dilution effect: Is more diagnostic information less prone to dilution?


The addition of nondiagnostic to diagnostic information yields less extreme judgments - a phenomenon known as the "dilution effect." The influence of highly vs. moderately diagnostic information as a possible moderator of this effect on judgments of student grade point averages (GPA) was investigated. Judgments of fictitious student profiles were significantly affected by the type of diagnostic information presented, and less extreme judgments of GPA were noted when nondiagnostic information was included. Findings were consistent with the dilution effect and generalized across both types of diagnostic information.

P1-32. Noel E. WILKIN (Univ. of Mississippi), & Glenn J. BROWNE (Texas Tech Univ.)

The influence of argument-based evidence on degree of belief.


Extending the theory that beliefs are constructed using arguments and judgments, this research evaluates the influence of argument type on subjects' degrees of belief. Subjects were presented with argument and/or information-based assertions with the intent of manipulating degrees of belief. Assertion type, order, and direction (for or against) were manipulated. Degrees of belief were evaluated using likelihood and support measures. It is hypothesized that degree of belief is (1) influenced more by causal arguments than authoritative arguments; (2) influenced more by argument-based evidence than simple information-based evidence; and (3) not affected by argument order and direction.

P1-33. Daniel G. GOLDSTEIN, & Gerd GIGERENZER (Max Planck Institute for Psychological Research, Munich, Germany)

Recognition: How to exploit your own lack of knowledge.


The recognition principle is a fundamental heuristic for inference. This heuristic advises considering only recognized alternatives when choosing among several. From this principle is deduced a counter-intuitive state of affairs wherein certain incomplete knowledge states allow one to make better inferences than more complete knowledge states. The conditions necessary for this less-is-more effect are stated. Through experiment and computer simulation, a less-is-more effect in a real-world environment is demonstrated.

P1-34. Laura MARTIGNON, Gerd GIGERENZER (Max Planck Institute for Psychological Research, Munich), & Kathryn LASKEY (Dept. of Systems Engineering, George Mason Univ.)

Evaluating fast and frugal choice heuristics.


Fast and frugal heuristics are evaluated against subtle and mighty Laplacean Demons. The question concerning the real nature of Laplacean Demons is debated (the metaphor used by Gigerenzer and Goldstein is a slightly modified version of Laplaces omniscient creature: she does not have all information but operates optimally on the available information). Multiple Regression is only one of the candidates Demon may use. What characterizes Demon is the flexibility to use one or the other strategy according to each environment. Good candidates in Demon's toolkit are well specified Bayesian Networks and Classification Trees. But if an analysis of computational costs is performed by Demon, she may well end up choosing a simple and more frugal algorithm like Take The Best, whose accuracy does not fall too far behind that of mightier algorithms.

P1-35. Michael SCHMITT (Institute for Theoretical Computer Science, Technische Universitaet Graz, Austria), & Laura MARTIGNON (Max Planck Institute for Psychological Research, Munich)

Improving the performance of satisficing cognitive algorithms.


We investigate a family of cognitive algorithms that has been proposed recently by Gigerenzer and Goldstein (1996) to model a kind of human behavior - known as one-reason decision making - in the task of comparing two objects as to which scores higher on a given criterion based on binary cue information. How should the cues be ranked in order to achieve the largest number of correct decisions? We provide a theoretical framework for studying this question by analyzing the approximation capabilities of satisficing cognitive algorithms. We introduce an algorithm that has not been considered before and show that it can be used to improve the performance of any cue-based algorithm in many cases. We also exhibit a relation between the comparison task and a class of problems that is studied in the area of machine learning.

P1-36. Ryan O. MURPHY (Dept. of Psychology, Western Washington Univ.)

Stability of calibration biases over time.


Recent research in judgment and decision making (Yates, 1989) indicates that there are significant cross-national differences in levels of miscalibration biases (suboptimal resolution and overconfidence). However, investigations of miscalibration biases are based on an implicit assumption that has yet to be empirically validated. The researchers assumed that individuals have a relatively stable level of judgment biases on the same task over time. Ongoing research indicates that this previous assumption is valid. The distribution of miscalibration biases are also reported.

P1-37. Todd R. DAVIES (Koc Univ., Istanbul)

Effects of available time on confidence following choice.


Previous experiments indicated that subjects' generic confidence is reduced by the "half-range method" of probability assessment, which forces the subject to make a binary choice between propositions prior to expressing a probability. Further experiments by Davies (1995) indicated that this effect can be eliminated (and possibly reversed) when subjects reflect sufficiently on the binary choice and gain insight through this process. New studies in Turkey and the U.S. show that manipulating the time available for assessment is sufficient to induce reduction in confidence following choice. With enough time, the effect of choice on confidence depends systematically on propositional content.

P1-38. Jack SOLL (INSEAD, France), Joshua KLAYMAN (Graduate Sch. of Business, Univ. of Chicago), Claudia GONZALEZ-VALLEJO (Ohio Univ.), & Sema BARLAS (Direct Marketing Technology)

An unbiased test of the hard/easy effect.


The hard/easy effect is a well-known yet disputed result in probability judgment tasks: People are overconfident for hard items and underconfident for easy ones. Several authors have illustrated how the traditional method of dividing questions by difficulty leads to artifactual results. Random sampling methods are also problematic. We employ a "split-sample" technique that provides an unbiased test. The hard/easy effect disappears when comparing domains, but reappears when comparing people. Participants who are less accurate or more overconfident on one sample of questions tend to be more overconfident on another sample. We discuss several possible explanations.

P1-39. Gregory L. BRAKE, Michael E. DOHERTY (Dept. of Psychology, Bowling Green State Univ.), & Gernot D. KLEITER (Univ. of Salzburg)

A lens model approach to calibration.


The calibration task used in the present studies was designed with Brunswik's strictures concerning representative design in mind, and conceptualized within a Lens Model framework as well as a calibration framework. Twenty subjects who were knowledgeable about baseball predicted winners of rich but incomplete descriptions of 150 randomly sampled baseball games, making half-scale probability judgments that the predicted teams would win. In a replication, 20 additional subjects were run, ten making half-scale judgments and ten full-scale judgments. In both experiments, substantial underconfidence was found in the great majority of subjects. The relationship between calibration accuracy measures and the Lens Model indices is explored.

P1-40. Paul C. PRICE (Dept. of Psychology, California State Univ., Fresno)

Wishful thinking about sporting event outcomes is reduced by a relative-frequency elicitation question.


College sports fans judged the likelihood that one team would beat another in various football and basketball games. Some answered a probability question: "What is the probability that Team A will beat Team B?" Others answered a relative-frequency question: "Out of 100 games like this one in all important respects, how many times would Team A beat Team B?" The positive correlation between the judged likelihood that Team A would win and the stated desire that Team A would win (wishful thinking) was reduced or eliminated in the relative-frequency condition.

P1-41. Alan SANFEY, & Reid HASTIE (Univ. of Colorado at Boulder)

Judgment of events: Are we influenced by frequency or probability?


Many everyday judgments and decisions are based on an evaluation of previously acquired information. This study examined the influence of both frequency and probability of event occurrence on judgments of event likelihood. Participants saw a series of election poll results for various candidates. Each candidate's frequency of winning was varied independently of the their probability of winning, enabling a determination of whether win frequency or win probability influenced subjects' predictions of the winner of the election. Experiment 1 used a new context to replicate Estes' (1976) finding. Experiment 2 addressed some methodological limits of experiment 1.

P1-42. Peter MCGRAW, & Barbara MELLERS (The Ohio State University)

Anticipation of value and the endowment effect.


Good decision making requires the ability to make accurate predictions of value. This study investigates how well people predict the values they later assign to objects. First we ask people to predict the value they would attach to a coffee mug if they were given one. Then half receive a mug, and half do not receive a mug. For those given a mug, we assess the minimum selling price they would be willing to accept for the mug (WTA). Those without a mug are given a choice between a mug and a range of cash amounts. The minimum price they would accept in lieu of a mug is defined as their maximum buying price or their willingness to purchase a mug (WTP). Actual WTA value is greater than anticipated value, and actual WTP value is less than anticipated. Discrepancies were in a self-serving direction despite both groups awareness of their initial valuation.

P1-43. Pia WENNERHOLM, & Peter JUSLIN (Dept. of Psychology, Uppsala Univ., Sweden)

Base-rate inverse and base-rate neglect in categorization: A test of the elimination hypothesis.


A new explanation of the base-rate inverse effect (Medin & Edelson, 1988) and base-rate neglect (Gluck & Bower, 1988) in the categorization literature is tested. This explanation rests on two assumptions: (1) At the early stages of learning, a high-level reasoning process referred to as elimination operates, leading to base-rate inverse, (2) After further training, with more trials than in previous experiments, participants change into exemplar-based processing and learn to appreciate base rates. Two experiments, which partly replicate the studies by Medin and Edelson (1988) and Gluck and Bower (1988) reveal a pattern consistent with the elimination hypothesis.

P1-44. Ralph HERTWIG (Max Planck Institute for Human Development, Berlin, Germany), Peter SEDLMEIER (Univ. of Paderborn, Germany), & Gerd GIGERENZER (Max Planck Institute for Human Development, Berlin, Germany)

Judgments of letter frequencies: Are they systematically biased due to availability?


How do humans estimate whether a particular letter is more frequent in the first versus in a later position in written words? We tested four hypotheses, two of them precise versions of the "availability heuristic," a third that assumes that frequency processing occurs on the level of the phonological classes of vowels and consonants, and a fourth--the regressed-frequencies hypothesis--that assumes an (imperfect) monitoring of individual letters. The results are closest to the predictions of the regressed-frequencies hypothesis. They are inconsistent with Tversky and Kahneman's (1973) conclusion that judgments of letter frequencies are systematically biased due to availability.

Poster Session #2

P2-1. Tiffany BARNETT (Fuqua Sch. of Business, Duke Univ.)

Making tough decisions that count: The moderating role of trust on information processing in complex decision making.


In this study, we investigate the impact of trust on consumers' information processing and search behavior in high stakes, complex decisions. The study addresses the following questions: Does having a trustworthy service provider to share decision making responsibilities with significantly impact the amount and depth of processing in which consumers engage (i.e., are consumers more likely to rely on heuristics)? If so, is the importance of trust more or less meaningful as decisions become less complex? Lastly, how does the impact of established trust in a service relationship differ when there is no trust or an active element of distrust.

P2-2. Marlene MORRIS (Fuqua Sch. of Business, Duke Univ.)

Effects of product innovation and decision-related emotion on consumer decision avoidance.


The focus of the present research is on the effects of affective influences (decision-related emotion, attitudes) and product innovativeness on consumer decision making and likelihood of decision avoidance. Two proposed contributions of this research are, first, an examination of the construct of product innovativeness, identifying two distinct categories: newness of the product and degree of continuous innovation. A second contribution will be an examination of the effects of decision-related emotion on conflict and decision avoidance. Possible interactions between product innovativeness and decision-related emotion are predicted and will be examined.

P2-3. Sue O'CURRY (Dept. of Marketing, DePaul Univ.), & Ching-Fan SHEU (Dept. of Psychology, DePaul Univ.)

Reference price formation: Which variables matter?


We report the results of several studies designed to explore reference price formation. Using an experimental approach derived from psychophysics, we presented subjects with price sequences varying in regularity, proportion of time on discount, depth of discount, shape of sequence, and presence or absence of brand name. We elicited reference prices and ranges of normal price. The data indicate that depth of price cut has a significant impact on estimates of price. In addition, branding leads to higher estimates of the least upper bound of the price range, pointing to a significant role for non-price information in reference price formation.

P2-4. Carla C. CHANDLER, Leilani A. GREENING, & Leslie ROBISON (Dept. of Psychology, Washington State Univ.)

How base rates frame personal risk judgments.


When women judge their risk of getting osteoporosis, their estimates tend to be much lower than the stated base rate (50%) because they believe that they have a better-than-average family history. In contrast, risk judgments tend to match the stated values if the base rates are contingent on family history (e.g., the risk is 55% for those who have a family history of osteoporosis and 45% for those who do not). While contingent base rates provide a frame that constrains risk judgments, they do not make women more worried about osteoporosis and thus may not influence personal decisions.

P2-5. Judith L. REESE, Sandra L. SCHNEIDER, Theresa E. HNATH-CHISOLM, & Harvey B. ABRAMS (Univ. of South Florida)

Message framing and intervention approach to encourage hearing aid use.


Hearing aid use can reduce the handicapping effects of hearing loss and improve quality-of-life in older, hearing impaired individuals; yet, hearing aids are underutilized by this group. A counseling intervention to persuade them to use hearing aids was assessed. Both message frame (i.e., negative, positive or minimal) and intervention approach (i.e., prescribed treatment or optional service) were manipulated. Results suggest that the negatively framed message with either approach was especially influential in getting participants to keep their hearing aids, as was the prescribed treatment approach when combined with a minimal message. The positively framed message was generally ineffective.

P2-6. Celia E. WILLS (Coll. of Nursing, Michigan State Univ.), & Colleen F. MOORE (Dept. of Psychology, Univ. of Wisconsin-Madison)

Judgments of likelihood and confidence for antidepressant medication acceptance.


Students (N=89) rated likelihood and confidence for accepting an antidepressant medication based on efficacy and risk of nausea information presented in hypothetical consent-for-treatment forms. Ratings were made for four different formats of nausea base rate risk information for positive and negative frames. A framing effect occurred for likelihood ratings for positive versus negative frames. Students who made ratings for only one frame were more likely to have zero variability in likelihood and confidence ratings than students who made ratings for both frames. Likelihood and confidence ratings were correlated positively. Implications for health risk communications and informed consent will be described.

P2-7. Kristina G. GORBATENKO-ROTH (Dept. of Psychology, Univ. of Wisconsin-Stout), & Irwin P. LEVIN (Dept. of Psychology, Univ. of Iowa)

Capturing patients' judgment policies in weighting different domains of quality of life.


The goal was to determine how individual differences in weighting the following domains of quality of life account for overall differences in patients' evaluation of medical outcomes: physical functioning, emotional functioning, and role (job) functioning. "Policy capturing" methodology was used in which medical patients rated their anticipated satisfaction with each of a series of hypothetical scenarios defined by varying levels of functioning on each of the three domains. Regression analysis showed that a model which incorporated individual differences in domain weighting significantly outperformed a model which placed equal weight on each of the three domains of quality of life.

P2-8. Mandeep K. DHAMI, & Peter AYTON (Dept. of Psychology, City Univ., London)

A policy capturing study of magistrates' bail decision making.


The policy capturing method developed in social judgement theory was used to examine magistrates' bail decisions. A sample of magistrates made bail decisions upon hypothetical cases and then ranked the cues according to their relative importance in making their decisions. Policy capturing research has consistently found that: (a) linear models can quite accurately represent the judge; (b) judges utilise a small number of cues; (c) judges are inconsistent; (d) there are inter-individual differences in policies; and (e) judges lack insight into their policies. The results of this study are discussed in relation to these findings. The practical implications are also discussed.

P2-9. Patrik N. JUSLIN (Dept. of Psychology, Uppsala Univ., Sweden)

Judgment analysis of emotional communication in music performance.


Music performers are able to communicate specific emotions to listeners. The performers use a number of cues in the performance to generate the emotional expression, and listeners employ the same cues in their judgments of the expression. However, to improve the communicative process it is necessary to relate encoding to decoding aspects. In this study, multiple regression was applied to the relationships between (a) the performer's intention and the cues, and (b) the listener's judgment and the cues. The two systems were related using the Lens Model Equation. The results show how performers can become better at communicating emotions to listeners.

P2-10. Ellen PETERS (Univ. of Oregon), & Paul SLOVIC (Univ. of Oregon and Decision Research)

Impact of emotional information in complex decisions.


Emotional information is predicted to loom larger in complex than simple decisions, particularly for individuals who tend to be high in emotional processing. Subjects are presented with simple and complex pairs of options. One option - the emotional option - is preferred for noninstrumental, emotional reasons while the other option - the analytical option - is preferred for instrumental reasons. Complex decisions include additional attribute information. Emotional information weighed more heavily in complex decisions - the emotional option was chosen more often in complex than simple decisions. Individuals high (as compared to low) in tendency towards emotional processing showed this effect more strongly.

P2-11. Lisa J. ABENDROTH (Fuqua Sch. of Business, Duke Univ.)

Regrettably so: The effects of justification, action, and outcome knowledge on regret.


This research examines how reasoning during the decision process interacts with action/inaction and outcome knowledge to influence regret. The first experiment found that action/inaction distinctions had no effect on the justifiability of reasons and that the valence of an outcome affected bad reasons only. Results of the two main experiments indicated that good reasoning provides insulation against regret only when the more favorable, alternative outcome is unknown. In addition to replicating the commission bias when no reasons were provided, results from the third experiment revealed that perceived effort may mediate the effect action has on regret.

P2-12. Monica D. BARNES, & Sandra L. SCHNEIDER (Dept. of Psychology, Univ. of South Florida)

The relationship between omission and status quo biases and affective reactions to lottery outcomes.


218 subjects participated in a lottery where they had the opportunity to win or lose a small prize. Prior to the lottery, participants could either move (act) or stay (fail to act) and either switch their endowed status quo prize (change status quo) or keep it (maintain status quo). Using a questionnaire, participants' affective reactions were assessed both immediately and one week after the lottery. No effects were found for regret, but there was an omission bias for satisfaction. Results are discussed in comparison to previous anticipatory scenario studies of regret and satisfaction.

P2-13. Léonie E. M. GERRITSEN, & Gideon B. KEREN (Eindhoven Univ. of Technology, The Netherlands)

How does information about choice options influence regret and disappointment?


In a series of experiments, we examined how pre- and postdecisional information influences the intensity of experienced regret and disappointment. Results show that predecisional information, a manipulation of whether a negative outcome was foreseeable or not, only influenced the intensity of regret. Postdecisional probabilistic information, given a negative outcome, influenced the intensity of both regret and disappointment, although in opposite ways. Results will be discussed in the context of regret and disappointment theories.

P2-14. Gal ZAUBERMAN, & Dan ARIELY (Fuqua Sch. of Business, Duke Univ.)

The moderating role of evaluation goals on sequential effects: The relationship between hedonic and informational evaluation.


This work examines the effects of the evaluation goals (Hedonic and Informational) on the final retrospective evaluation of experiences. Specifically, we examine different characteristics of the experience's pattern and their role in impacting its overall evaluation under these two goals. The pattern parameters used are, Initial information, Peak intensity, Final information, and Rate of change. Different intensity patterns were used in order to estimate the effect of these parameters. The results indicate that evaluations under the two modalities are different with respect to the parameters noted above. In other words, the evaluation mode systematically impacts the way information over time is integrated.

P2-15. Carla M. KMETT (Univ. of Dayton), Hal R. ARKES (Ohio Univ.), & Steven K. JONES (Air Force Academy)

The influence of two decision aids on high school students' satisfaction with their college choice.


Recent research suggests that examining the bases of one's decisions can lower subsequent satisfaction with the outcome of those decisions. We predicted the contrary result in a field study using high school students' college choice. Some students used no decision aid, some used a pro/con list, and some used a computer program in making their actual college choice. The two aids resulted in significantly higher outcome satisfaction when assessed after one college term. However this result was found only among those students whose initial bases for their decision were less accessible on a subsequent memory test.

P2-16. Laura HUTZEL, & Hal R. ARKES (Dept. of Psychology, Ohio Univ.)

Regret may be a fuel for inaction inertia.


Some participants reported their propensity to buy shoes for $90 after missing an initial opportunity to buy them for either $80 or $40. Other participants reported the amount of regret they felt over missing the initial opportunity. The availability of the initial opportunity varied by three locations: Columbus, Ohio; St. Louis; or Southeast Asia. When the missed deal was great and available, regret was high and propensity to buy was low. When the missed deal was not so great and/or not available, regret was low and the propensity to buy was high. We hypothesize that regret fuels inaction inertia.

P2-17. Hal R. ARKES, & Laura HUTZEL (Dept. of Psychology, Ohio Univ.)

The role of probability of success estimates in the sunk cost effect.


Arkes and Blumer (1985) demonstrated that those who want to continue investing in a failing course of action inflate its estimated probability of success [p(s)]. Participants rated a project's p(s) either before or after making an investment decision. The latter group manifested a significantly higher p(s) than the former, suggesting that inflating the p(s) retroactively "rationalizes" the prior investment decision rather than mediates the investment decision. Also, compared to participants who didn't want to invest, those who did thought that such an investment would be significantly more influential in promoting the project's success.

P2-18. Elmer Anita THAMES (John Carroll Univ.)

The effect of mental accounting, endowment, and sex on the sunk-cost effect.


This study examined how sunk-cost effects vary with mental accounting, endowment, and sex. Subjects' decision to reinvest, decision confidence, annoyance at paying the reinvestment cost, and disappointment at missing the investment event were assessed. There were significant effects for sunk-cost and mental-accounting manipulations as well as an interaction between them. Decision makers' sex also produced significant effects. Endowment manipulations did not reach significance.

P2-19. Bennett CHERRY, Lisa ORDÓÑEZ, & Stephen GILLILAND (Dept. of Management and Policy, Univ. of Arizona)

Grade expectations: The effects of expectations on fairness and satisfaction.


Subjects judged the satisfaction and fairness of grades in either a hypothetical, laboratory context or in an actual classroom situation. Expectations of grades were manipulated in the lab study and measured in the field study. The results indicate that, contrary to Equity Theory, grades exceeding expectations were judged to be equally fair as grades meeting expectations. However, lower than expected grades were judged to be unfair. Satisfaction judgments for the same stimuli showed loss aversion.

P2-20. Lisa ORDÓÑEZ, Terry CONNOLLY, & Richard COUGHLAN (Dept. of Management and Policy, Univ. of Arizona)

Multiple reference points in pay satisfaction assessments.


MBA students judged the satisfaction and fairness of salary offers given to a hypothetical MBA graduate. Subjects were presented with information about offers received by one or two other graduates with similar backgrounds as well as the offer to the focal graduate. Both satisfaction and fairness ratings were consistent with subjects comparing the offer with other offers one at a time and then combining the feelings associated with these comparisons.

P2-21. Michael E. WALKER (Ohio State Univ.), & Osvaldo F. MORERA (Univ. of Illinois, Chicago)

Disparate WTA/WTP disparities? The influence of human vs. natural causes.


Contrary to predictions of economic theory, evidence suggests the value associated with willingness to accept compensation (WTA) for a product far exceeds the value to pay (WTP) for that object (Knetsch and Sinden, 1984). In the context of compensation for damage, cause of damage (human versus naturally-occurring) influences estimates for both WTA (Ritov and Baron, 1990) and WTP (Kahneman, Ritov, Jacowitz, and Grant, 1993). In this study, subjects provided WTA and WTP judgments in scenarios where cause of damage was either human or natural. Results suggest interactions between type of value judgment and context may influence WTA/WTP disparities.

P2-22. David V. BUDESCU, Kristine M. KUHN, Karen KRAMER, James HERSHEY, & Adrian RANTILLA (Dept. of Psychology, Univ. of Illinois at Urbana-Champaign)

Tradeoffs in risk attributes: The joint effects of dimension preference and vagueness.


Previous research has demonstrated that people are generally averse to imprecisely specified (vague) probabilities and/or outcomes. The current research investigated the joint effects of vagueness in both dimensions. Subjects provided Certainty Equivalents for vague and precise positive gambles over a wide range of probabilities and outcomes. Imprecise probabilities and outcomes were equated in terms of their effects on the gambles' expected values, providing a meaningful metric for comparison. We found slight vagueness avoidance for probabilities and quite strong preference for vague outcomes. A general model of decision making with vaguely specified attributes that captures this pattern is proposed.

P2-23. Kristine M. KUHN, & David V. BUDESCU (Dept. of Psychology, Univ. of Illinois at Urbana-Champaign)

Reversal of preferences for vagueness in risky decision making.


This study demonstrates response mode effects in expressed preferences for vagueness. We analyzed individual and group data from two studies where subjects evaluated hypothetical risks, of equal expected loss, by using direct choice and ratings of individual options. We found (1) a greater tendency to express indifference via ratings, and (2) stronger vagueness avoidance in ratings than choice. Choice depends primarily on the mean values of the two dimensions, whereas ratings are also affected by the relative precision of the probabilities and outcomes. This suggests that the precision with which attributes are specified functions as a secondary (less prominent) dimension.

P2-24. Mary E. HUNEKE, Wendy S. FORBES, Irwin P. LEVIN (Univ. of Iowa), & J. D. JASPER (Univ. of Toronto)

Comparing decision processes in set formation and final choice.


Process tracing measures were derived from an information search and monitoring task in which some subjects were asked to form a set of options for later consideration; others made only a final choice; and others used a "phased narrowing" task in which they first formed a consideration set and then made a final choice from this set. The following issues were addressed: 1) Processing differences between set formation and choice; 2) Inclusion vs. exclusion processes in set formation; and 3) Trade-offs in effort devoted to set formation and final choice.

P2-25. Melissa L. FINUCANE (Decision Research), Murray T. MAYBERY, & Dan MILECH (Univ. of Western Australia)

Behavioral decision theories: Competing or complementary?


Typically, decision researchers adopt a priori one model of individuals' decision strategies, and fit data to the model. Consequently, over-fitting of the data is common and the relative explanatory power of alternative models is ignored. Two studies are reported, demonstrating a technique for directly comparing strategies from two traditionally competing explanations of decision making: information integration theory and simplification theory. The findings showed that different strategies from the two theories are used reliably, and that the type of decision problem influences strategy selection. Rather than competing, the theories complement each other in explaining how individuals make decisions for a range of decision problems.

P2-26. Murray T. MAYBERY (Univ. of Western Australia), Melissa L. FINUCANE (Decision Research), & Dan MILECH (Univ. of Western Australia)

On the importance of value trees in the evaluation process: Do superstructure and detail matter?


Value trees generated using multiattribute utility technology are useful in assessing conflict over the importance of different pieces of decision information. Previous research on the effects of tree construction confounded the manipulation of superstructure and detail with changing the surface structure context in which attributes were weighted. In the present study, relative importance weights were elicited from 64 participants for attributes organised in trees that differed in superstructure and detail, but held constant the surface structure context. The results indicated that weights were influenced greatly by attribute detail, but only to a limited extent by changes in superstructure.

P2-27. Linda R. ELLIOTT (Armstrong Laboratories), John R. HOLLENBECK (Michigan State Univ.), & Philip T. DUNWOODY (Univ. of Georgia)

Conflicting information in simultaneous and sequential displays: Patterns of decision error in a multiple-cue threat assessment task.


Complex information is increasingly represented using visual displays configured to enhance perception, comprehension, and decision making. In this study, we expected to distinguish patterns of decision error based on existence of conflicting information and simultaneous versus sequential display of information. We predicted that a sequential display of information would be more likely to result in primacy error, consistent with Anchoring and Adjustment theory. In contrast, decision making in a simultaneous display condition was predicated to be characterized by an averaging heuristic, reflecting a tendency to process information more holistically (Hammond et al. 1987). Results supported hypotheses as predicted.

P2-28. Robert P. MAHAN, Philip T. DUNWOODY (Univ. of Georgia), & Linda R. ELLIOTT (Crew Technology, Armstrong Labs)

Effects of representation fidelity on judgment simulation performance: More is different.


In training simulation research, the more fidelity achievable, the better the simulation is assumed to depict the task. However, altering a simulation representation may fundamentally alter task properties, as well as the responses to the task. This study demonstrated that a threat assessment simulation presented in a low fidelity numeric format versus a higher fidelity graphical format produced two distinct performance profiles. Here, the Numeric format supported highest performance under low complexity conditions, while, the graphical version supported highest performance under higher complexity conditions. The outcomes appear related to the organizing principles activated by the different formats. The results suggest that performance measures geared to specific organizing principles induced by format should be considered integral to any simulation development program.

P2-29. Robert M. ROE (Purdue Univ.), Stephen E. EDGELL, & William P. NEACE (Univ. of Louisville)

Sequential versus simultaneous presentation of information in a probabilistic, decision-making-like environment.


Three studies explored the effect of presenting two information dimensions simultaneously or sequentially in a probabilistic, decision-making-like environment. With varying presentation order, the utilization of a single relevant dimension was less with sequential presentation. However, with a constant order of presentation this effect occurred only when the irrelevant dimension was presented first. If the pattern and one dimension were relevant, the effect was small for utilization of the dimension, but larger for utilization of the pattern.

P2-30. Eric. R. STONE, & Carolyn J. RUSH (Wake Forest Univ.)

Risk communication: The effectiveness of graphical modes depends on the risk magnitude.


Previous research we have conducted comparing graphical presentational formats to numerical formats found that, for low-probability risk magnitudes, graphical formats induced greater professed risk-avoidant behavior than did numerical formats. In two studies, the present research found that this effect did not generalize to situations with higher risk magnitudes. These results suggest that framing effects found in the risk communication literature may be dependent on the risk level employed, and in particular may be most common with low-probability scenarios, perhaps due to people's unfamiliarity with such low probabilities.

P2-31. Stuart M. SENTER, & Douglas H. WEDELL (Dept. of Psychology, Univ. of South Carolina)

Information presentation constraints and judgment accuracy.


Participants judged the attractiveness of apartments under constraints which forced them to view information either by alternative or by dimension. Results from previous research on choice under presentation constraints has shown that dimensionwise constraints result in more accurate choices and less effort expenditure than alternativewise constraints. It was found that the dimensionwise constraint resulted in more accurate judgments within a choice set, while the alternativewise constraint resulted in more accurate judgments between sets. Results are discussed in relation to process tracing methodologies and the findings of previous research utilizing presentation constraints.

P2-32. Jonathan C. PETTIBONE, & Douglas H. WEDELL (Dept. of Psychology, Univ. of South Carolina)

Contextual sensitivity of ideal point preferences.


Contextual sensitivity of ideal point preferences has been established for psychophysical stimuli (Riskey, Parducci, & Beauchamp, 1979) such as sweetness of a beverage but not for social judgments such as attractiveness. In three experiments, we explore this issue using computer generated faces that varied in nose width and eye gap. In Experiment 1, participants made descriptive and attractiveness judgments of faces that varied on one feature. In Experiment 2, both features were manipulated together. In Experiment 3, participants chose which of three faces was most attractive. Results from all three experiments support the contextual sensitivity of ideals for attractiveness.

P2-33. Winston R. SIECK (Univ. of Michigan)

Range and frequency effects on probability judgment.


Two experiments examined the effects of the range and relative-frequency of objective probabilities (OP) in the stimulus set on subjective probabilites (SP). Experiment 1 stimulus sets had either relatively more or fewer mid-range than extreme OPs (i.e., hard vs. easy environments). Experiment 2 stimulus sets consisted of either a narrow or wide range of OPs corresponding to hard and easy environments. The hard-easy effect was essentially replicated. Results were consistent with range-frequency theory which suggests that the hard-easy effect reflects a tendency to assign the same number of presented OPs to each of the SP categories available.

P2-34. Bridget C. FLANNERY, Stacey A. NEFF, Jeremy D. JOKINEN, & Bruce W. CARLSON (Ohio Univ.)

Judgmental forecasting when changes occur in a time series.


In this study, we investigated how people respond to changes in the direction of a time series when making forecasts. We found that people produce forecasts that are too close to the most recent value of a time series, a result that is consistent with previous research and that has been described as an anchoring effect. We also found that this conservatism decreases as people gain experience with a time series. Finally, we found little evidence that the time to make a forecast is related to changes in a time series. The implications of these results are discussed.

P2-35. Ayse ONCULER (Dept. of Operations & Information Management, Wharton Sch., Univ. of Pennsylvania)

Modeling intertemportal choice under uncertainty.


The purpose of this experimental study is to examine if future uncertainty is treated differently than immediate uncertainty and future certainty. The findings suggest risk preferences depend on the time period over which the outcomes are evaluated. Specifically, risk aversion decreases with respect to future gains and increases with respect to future losses. Based on the experimental observations, an intertemporal choice model is constructed to study the change in the behavior due to future uncertainty.

P2-36. Dilip SOMAN (College of Business, Univ. of Colorado at Boulder)

Virtual progress: The importance of being on the move vs. getting there.


We examine service situations in which the start and end times are constant but the path characteristics are manipulated. Subjects indicated a preference for services with lower idle duration, in which idling occurs in the middle of the interval rather than at the beginning, and in which there is physical movement towards the goal for a large part of the interval. Thus, subjects choose alternatives in which they experience a sense of progress even though the actual goal might be reached at the same time. We refer to this as virtual progress. We show that virtual progress influences choice prior to the service experience but not the satisfaction when evaluated after the service. Further, virtual progress influences preferences in situations where the indivdual presonally experiences the passage of time due to salience.

P2-37. Scott HIGHHOUSE (Bowling Green State Univ.), Susan MOHAMMED (Pennsylvania State Univ.), & Jody R. HOFFMAN (Bowling Green State Univ.)

Temporal discounting of strategic issues: Bold forecasts for opportunities and threats.


Asymmetrical discounting of strategic issues was found such that students (N = 86) discounted distant threats more than distant opportunities. In addition, even though immediate threats were viewed just as likely to occur as immediate opportunities, distant threats were seen as less plausible than distant opportunities. Experiment 2 (N = 222) found that a manipulation of a threat's likelihood of occurring had no effect on the temporal discounting of the hypothetical threat. However, the perceived control of threats increased as temporal distance increased. We conclude that perceived control plays an important role in the reduced plausibility of distant threats.

P2-38. Michael J. ZICKAR, & Scott HIGHHOUSE (Bowling Green State Univ.)

Examining framing effects using item response theory.


Item response theory (IRT) models were estimated for four risky-choice problems, answered by students under either a gain or loss frame. IRT methodology allowed an in-depth examination of several issues that would be difficult to explore using traditional methodology. Results support the typical framing finding of risk-aversion for gains and risk-seeking for losses. However, results suggest that individual differences in preference-for-risk are more influential in predicting risky choice than framing condition. Also, these results suggested that the Asian Disease problem, most often used in framing research, has anomalous statistical properties when compared to other framing problems.

P2-39. Laurie ZIEGLER (Univ. of Texas at Dallas)

Risk preferences in strategic decision making: Influences of decision importance.


Research supporting prospect theory's predictions concerning the effects of gain/loss framing on risk preferences has focused on very important decisions. However, it has not systematically examined the effects of decision importance on risk preferences. The joint effects of gain/loss orientation and decision importance on managerial risk preferences in strategic decision making are examined. Experimental results indicate that decision importance moderates gain/loss framing effects. Subjects' choices were risk seeking for low importance decisions framed as gains. Consequences of this study for understanding how decision importance affects risk preferences are considered.

P2-40. Timothy R. JOHNSON (Dept. of Psychology, Univ. of Illinois at Urbana-Champaign)

On the (nonlinear) multivariate analysis and representation of subjective probability judgments.


One common form of data in judgment and decision making research is a n by m array of subjective probability judgments made by n judges regarding m events. This study demonstrates the application of multivariate analytical and representation methods to these arrays based on nonlinear principal components and biplot displays. In the application and interpretation of these methods, the distinction is made between half- and full-range judgments as well as between confidence and forecasting judgment data. The distinction is also made between absolute and ordinal level judgment data. The proposed methodology is extensively demonstrated with an empirical data set.

P2-41. Robert B. BRANSTROM (Dept. of Psychology, Univ. of California, Berkeley)

Choice response times and an interactive activation network model of multiattribute choice.


Multiattribute decision models typically assume that utilities derived from attribute values are based on fixed utility functions. Alternatively, an interactive activation network model assumes attribute nodes receive initial activations related to attribute values, but activations then change dynamically as the network "settles into" a solution. In a two alternative, two attribute choice task, this model, like utility based models, correctly predicts decisions for compensatory and dominated choices. However, the network model predicts a pattern of decision response times not predicted by conventional multiattribute models. Empirical results support the network model's predicted patten of response times.

P2-42. Kenneth RONA (Fuqua Sch. of Business, Duke Univ.)

Growing decision rules.


This paper presents a computer simulation that "grows" decision rules according to evolutionary principles. Decision rules are made up of elementary information processes with initial rules being randomly generated. A large number of rules are constructed, presented with a risky choice problem, and then evaluated based on their performance on some set of goals. Rules are then selected from the population based on their performance and combined with each other to create new decision rules to be represented in the next generation. Rules that are more fit will emerge over time, thereby identifying the most fit type of rules in a given decision environment.

P2-43. Marcus O'CONNOR (Univ. of New South Wales, Australia)

The asymmetry of judgemental confidence intervals in time series forecasting.


This study examines the prevalence and determinants of the symmetry of judgemental confidence intervals around the forecast in time series forecasting. Most prior research on judgemental confidence intervals has assumed that the intervals are symmetrically placed around the forecast. However, this study shows that people are extremely disposed towards estimating asymmetric confidence intervals and that many of these intervals are grossly asymmetric. Results indicate that the placement of the forecast in relation to the last actual value is a major determinant of the direction and size of the asymmetry.