Individual differences on a variety of framing and conjunction problems were examined in light of Slovic and Tversky's (1974) understanding/acceptance principle-that more reflective and skilled reasoners are more likely to affirm the axioms that define normative reasoning and to endorse the task construals of informed experts. The predictions derived from the principle were confirmed for the much discussed framing effect in the Disease Problem and for the conjunction fallacy on the Linda Problem. Subjects of higher cognitive ability were disproportionately likely (...) to avoid each fallacy. Other framing problems produced much more modest levels of empirical support. It is conjectured that the varying patterns of individual differences are best explained by two-process theories of reasoning (e.g. Evans, 1984, 1996; Sloman, 1996) conjoined with the assumption that the two processes differentially reflect interactional and analytic intelligence. (shrink)

A survey of contemporary philosophical and scientific literatures reveals that different authors employ the term ‘heuristic’ in ways that deviate from, and are sometimes inconsistent with, one another. Given its widespread use in philosophy and cognitive science generally, it is striking that there appears to be little concern for a clear account of what phenomena heuristics pick out or refer to. In response, I consider several accounts of ‘heuristic’, and I draw a number of distinctions between different sorts of heuristics (...) in order to make sense of various research programmes. I then develop a working characterization of ‘heuristic’ which is shown to be coherent and robust enough to serve as a kind within philosophy and cognitive science broadly. My intent is not to pursue a unified account of ‘heuristic’, but to highlight some features of certain kinds of heuristics that are important for theorizing about cognition in order to proceed with a science of the mind/brain. 1 Why We Need an Appropriate Characterization of ‘Heuristic’2 Inadequate Definitions2.1 A positive attempt2.2 Heuristics versus guaranteed correct outcomes3 A Taxonomy of Heuristics3.1 Stimulus-driven versus heuristic3.2 Perceptual versus cognitive heuristics3.3 Computational versus cognitive heuristics3.4 Methodological versus inferential heuristics3.5 Summary of distinctions4 Characterizing Cognitive Heuristics4.1 Heuristics as rules of thumb4.2 Beyond rules of thumb: exploiting information5 Concluding Remarks. (shrink)

Building on earlier work on the relationship between corporate social performance (CSP) and a firm’s financial performance, this integrative empirical study supports the theoretical argument that the higher a firm’s CSP the lower its financial risk. Specifically, the relationship between CSP and risk appears to be one of reciprocal causality, because prior CSP is negatively related to subsequent financial risk, and prior financial risk is negatively related to subsequent CSP. Additionally, CSP is more strongly correlated with measures of market risk (...) than measures of accounting risk. Of all CSP measures, reputation for social responsibility appears to be the most important one in terms of its risk implications. (shrink)

Behavioral ecologists often assume that natural selection will produce organisms that make optimal decisions. In the context of information processing, this means that the behavior of animals will be consistent with models from fields such as signal detection theory and Bayesian decision theory. We discuss work that applies such models to animal behavior and use the case of Bayesian updating to make the distinction between a description of behavior at the level of optimal decisions and a mechanistic account of how (...) decisions are made. The idea of ecological rationality is that natural selection shapes an animal's decision mechanisms to suit its environment. As a result, decision-making mechanisms may not perform well outside the context in which they evolved. Although the assumption of ecological rationality is plausible, we argue that the exact nature of the relationship between ecology and cognitive mechanism may not be obvious. (shrink)

In many learning or inference tasks human behavior approximates that of a Bayesian ideal observer, suggesting that, at some level, cognition can be described as Bayesian inference. However, a number of findings have highlighted an intriguing mismatch between human behavior and standard assumptions about optimality: People often appear to make decisions based on just one or a few samples from the appropriate posterior probability distribution, rather than using the full distribution. Although sampling-based approximations are a common way to implement Bayesian (...) inference, the very limited numbers of samples often used by humans seem insufficient to approximate the required probability distributions very accurately. Here, we consider this discrepancy in the broader framework of statistical decision theory, and ask: If people are making decisions based on samples—but as samples are costly—how many samples should people use to optimize their total expected or worst-case reward over a large number of decisions? We find that under reasonable assumptions about the time costs of sampling, making many quick but locally suboptimal decisions based on very few samples may be the globally optimal strategy over long periods. These results help to reconcile a large body of work showing sampling-based or probability matching behavior with the hypothesis that human cognition can be understood in Bayesian terms, and they suggest promising future directions for studies of resource-constrained cognition. (shrink)

The ArgumentScientific tools—measurement and calculation instruments, techniques of inference—straddle the line between the context of discovery and the context of justification. In discovery, new scientific tools suggest new theoretical metaphors and concepts; and in justification, these tool-derived theoretical metaphors and concepts are morelikely to be accepted by the scientific community if the tools are already entrenched in scientific practice.Techniques of statistical inference and hypothesis testing entered American psychology first as tools in the 1940s and 1950s and then as cognitive theories (...) in the 1960s and 1970s. Not only did psychologists resists statistical metaphors of mind prior to the institutionalization of inference techniques in their own practice; the cognitive theories they ultimately developed about “the mind as intuitive statistician” still bear the telltale marks of the practical laboratory context in which the tool was used. (shrink)

Ethical decision making is of concern to researchers across all fields. However, researchers typically focus on the biases that may act to undermine ethical decision making. Taking a new approach, this study focused on identifying the most common compensatory strategies that counteract those biases. These strategies were identified using a series of interviews with university researchers in a variety of areas, including biological, physical, social, and health as well as scholarship and the performing arts. Interview transcripts were assessed with two (...) scoring procedures, an expert rating system and computer-assisted qualitative analysis. Although the expert rating system identified Understanding Guidelines, Recognition of Insufficient Information, and Recognizing Boundaries as the most frequently used compensatory strategies across fields, other strategies, Striving for Transparency, Value/norm Assessment, and Following Appropriate Role Models, were identified as most common by the computer-assisted qualitative analyses. Potential reasons for these findings and implications for training and practice are identified and discussed. (shrink)

The examples and concepts that Shoemaker cites are rather heterogeneous. Some distinctions need to be drawn. An optimality thesis involves not just an ordering of options, but a value judgment about them. So let us begin by distinguishing minimality from optimality. And the concept of minimality can play a variety of roles, among which I distinguish between extremum descriptions, statements hypothesizing an optimizing process, and methodological recommendations. Finally, I consider how the three categories relate to Shoemaker’s question that “Who is (...) optimizing: the scientist or nature?” . (shrink)

This paper examines the strengths and weaknesses of one of science's most pervasive and flexible metaprinciples;optimalityis used to explain utility maximization in economics, least effort principles in physics, entropy in chemistry, and survival of the fittest in biology. Fermat's principle of least time involves both teleological and causal considerations, two distinct modes of explanation resting on poorly understood psychological primitives. The rationality heuristic in economics provides an example from social science of the potential biases arising from the extreme flexibility of (...) optimality considerations, including selective search for confirming vidence, ex post rationalization, and the confusion of prediction with explanation. Commentators are asked to reflect on the extent to which optimality is an organizing principle of nature, a set of relatively unconnected techniques of science, a normative principle for rational choice and social organization, a metaphysical way of looking at the world, or something else still. (shrink)

This book critically examines Freud's own detailed arguments for his major explanatory and therapeutic principles, the current neorevisionist versions of psychoanalysis, and the hermeneuticists' reconstruction of Freud's theory and therapy as an alternative to what they claim was a “scientistic” misconstrual of the psychoanalytic enterprise. The clinical case for Freud's cornerstone theory of repression – the claim that psychic conflict plays a causal role in producing neuroses, dreams, and bungled actions – turns out to be ill-founded for two main reasons: (...) Even if clinical data were valid, the method of free association has failed to support the psychoanalytic theory of unconscious motivation; Clinical data tend in any case to be artifacts of the analyst's self-fulfilling expectations, thus losing much of their evidential value. The hypothesis that psychoanalytic treatment is in reality a placebo poses a serious challenge to the assumption that insight is a key causal factor when therapy is successful. This challenge has yet to be met by psychoanalysts. Similar conclusions undermine the neorevisionist versions of psychoanalysis. The most influential hermeneuticists, on the other hand, are shown to have imposed an alien philosophy on psychoanalysis, partly through their reliance on gross misconceptions of the natural sciences. Karl Popper's criticism of the Freudian corpus as empirically untestable has misjudged its evidential weaknesses, which are more subtle. If there exists empirical evidence for the principal psychoanalytic doctrines, it cannot be obtained without well-designed extraclinical studies of a kind that have for the most part yet to be attempted. (shrink)