Showing 1 - 10 of 18
Algorithm-based decision support systems play an increasingly important role in decisions involving exploration tasks, such as product searches, portfolio choices, and human resource procurement. These tasks often involve a trade-off between exploration and exploitation, which can be highly...
Persistent link: https://www.econbiz.de/10014290098
a series of additional laboratory experiments suggest that task complexity decreases the responsiveness to incentives …
Persistent link: https://www.econbiz.de/10011307110
It is entirely appropriate that the study of public finance take seriously behavioral" inconsistencies with traditional models of individual and collective decision-making. This raises the question of whether the state should play a role in protecting individuals from themselves, and whether...
Persistent link: https://www.econbiz.de/10010276630
from complexity theory that takes account of true uncertainty and increasing returns to technology adoption. We examine …
Persistent link: https://www.econbiz.de/10014534298
computational complexity of the decision problem. These results point to the context-dependence of what comes to mind and the …
Persistent link: https://www.econbiz.de/10012207896
We analyze the relationship between cognitive ability and bunching in the context of a large and salient kink point of the Swedish income tax schedule. Using population-wide register data from the Swedish military enlistment and administrative tax records, we find that high-ability individuals...
Persistent link: https://www.econbiz.de/10012207998
We study two dimensions of complexity that may interfere with individual choice. The first one is object complexity … complexity, which increases when suboptimal alternatives become more similar to optimal ones. We develop a satisficing …, as the object complexity of an optimal (suboptimal) alternative increases, it becomes less (more) likely to be chosen …
Persistent link: https://www.econbiz.de/10012657945
This paper studies the relevance of cognitive uncertainty – subjective uncertainty over one’s utility-maximizing action – for understanding and predicting intertemporal choice. The main idea is that when people are cognitively noisy, such as when a decision is complex, they implicitly...
Persistent link: https://www.econbiz.de/10012799772
In this paper, we analyze whether the complexity of tax bills affects financial markets. Based on the Flesch … between tax bills' complexity and financial markets using an event study approach. Our results show a negative (positive) and …
Persistent link: https://www.econbiz.de/10013470311
, structural estimates of present bias, hyperbolicity and transitivity violations – are driven by complexity rather than time or … intertemporal decisions. Second, intertemporal choice anomalies are highly correlated with indices of complexity responses including … to complexity severely inflates structural estimates of present bias. …
Persistent link: https://www.econbiz.de/10014290237