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Humanss (Incorrect) Distrust of Reflective Decisions

Authors: Cabrales, Antonio; Espín, Antonio M.; Kujal, Praveen; Rassenti, Stephen;

Humanss (Incorrect) Distrust of Reflective Decisions

Abstract

Recent experiments suggest that social behavior may be shaped by the time available for decision making. It is known that fast decision making relies more on intuition whereas slow decision making is affected by reflective processes. Little is known, however, about whether people correctly anticipate the effect of intuition vs. reflection on others' decision making. This is important in everyday situations where anticipating others' behavior is often essential. A good example of this is the extensively studied Trust Game where the trustor, by sending an amount of money to the trustee, runs the risk of being exploited by the trustee's subsequent action. We use this game to study how trustors' choices are affected by whether trustees are externally forced to respond quickly or slowly. We also examine whether trustors' own tendency to stop and reflect on their intuitions (as measured by the Cognitive Reflection Test) moderates how they anticipate the effect of reflection on the behavior of trustees. We find that the least reflective trustors send less money when trustees are forced to respond "reflectively" rather than "intuitively", but we also argue that this is a wrong choice. In general, no group, including the ones with the largest number of reflective individuals, is good at anticipating the (positive) effect of forced delay on others' trustworthiness.

Country
United States
Keywords

Economics, trust, trustworthiness, intuition, dual-process, beliefs, Econometrics, Economic Theory, reflection, Other Economics

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Powered by OpenAIRE graph
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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
4
Average
Average
Average
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