Making Sense of Dynamic Systems: How Our Understanding of Stocks and Flows Depends on a Global Perspective

Stocks and flows (SF) are building blocks of dynamic systems: Stocks change through inflows and outflows, such as our bank balance changing with withdrawals and deposits, or atmospheric CO₂ with absorptions and emissions. However, people make systematic errors when trying to infer the behavior of dynamic systems, termed SF failure, whose cognitive explanations are yet unknown. We argue that SF failure appears when people focus on specific system elements (local processing), rather than on the system structure and gestalt (global processing). Using a standard SF task (n = 148), SF failure decreased by (a) a global as opposed to local task format; (b) individual global as opposed to local processing styles; and (c) global as opposed to local perceptual priming. These results converge toward local processing as an explanation for SF failure. We discuss theoretical and practical implications on the connections between the scope of attention and understanding of dynamic systems.     

Career Decision‐Making Self‐Efficacy Change in Italian High School Students

The authors explored the effects of a structured‐group career intervention among 280 Italian high school students. Hierarchical linear models indicated the intervention's effectiveness in increasing career decision‐making self‐efficacy and, consequently, career exploration, but not in decreasing career choice anxiety. In addition, partial confirmation was found for the moderating effects of participants' expectations and motivation to change on the relationship between career decision‐making self‐efficacy and career choice anxiety. The findings support the development of a systematic vocational guidance program in Italian schools.     

The Development and Testing of a New Version of the Cognitive Reflection Test Applying Item Response Theory (IRT)

The cognitive reflection test (CRT) is a short measure of a person's ability to resist intuitive response tendencies and to produce a normatively correct response, which is based on effortful reasoning. Although the CRT is a very popular measure, its psychometric properties have not been extensively investigated. A major limitation of the CRT is the difficulty of the items, which can lead to floor effects in populations other than highly educated adults. The present study aimed at investigating the psychometric properties of the CRT applying item response theory analyses (a two‐parameter logistic model) and at developing a new version of the scale (the CRT‐long), which is appropriate for participants with both lower and higher levels of cognitive reflection. The results demonstrated the good psychometric properties of the original, as well as the new scale. The validity of the new scale was also assessed by measuring correlations with various indicators of intelligence, numeracy, reasoning and decision‐making skills, and thinking dispositions. Moreover, we present evidence for the suitability of the new scale to be used with developmental samples. Finally, by comparing the performance of adolescents and young adults on the CRT and CRT‐long, we report the first investigation into the development of cognitive reflection. Copyright © 2015 John Wiley & Sons, Ltd.     

Now or Later? Attentional Processing and Intertemporal Choice

The tendency to discount future prospects in lieu of smaller immediate outcomes is known as temporal discounting. The current work used eye‐tracking methodology to examine attentional processing to different elements of choice during an intertemporal decision task. Our findings reveal that those who tend to prefer the immediate option demonstrate attentional biases that were predictive of choice. When losses were at stake, selective attention biases also predicted unique variance in self‐report measures of risk taking, impulsivity, and self‐control beyond what was accounted for by a discounting parameter (k), a typical method for summarizing intertemporal choice data. Overall, our findings suggest that eye‐tracking measures of selective attention may allow for a better theoretical understanding of the mechanisms and processes involved in intertemporal choice. Copyright © 2015 John Wiley & Sons, Ltd.     

The Curious Case of the De-ICD: Negotiating the Dynamics of Autonomy and Paternalism in Complex Clinical Relationships

This article discusses the response of our ethics consultation service to an exceptional request by a patient to have his implantable cardioverter defibrillator (ICD) removed. Despite assurances that the device had saved his life on at least two occasions, and cautions that without it he would almost certainly suffer a potentially lethal cardiac event within 2 years, the patient would not be swayed. Although the patient was judged to be competent, our protracted consultation process lasted more than 8 months as we consulted, argued with, and otherwise cajoled him to change his mind, all to no avail. Justifying our at times aggressive paternalistic intervention helped us to reflect on the nature of autonomy and the dynamics of the legal, moral, and personal relationships in the clinical decision-making process.     

A Broader Understanding of Moral Distress

On the traditional view, moral distress arises only in cases where an individual believes she knows the morally right thing to do but fails to perform that action due to various constraints. We seek to motivate a broader understanding of moral distress. We begin by presenting six types of distress that fall outside the bounds of the traditional definition and explaining why they should be recognized as forms of moral distress. We then propose and defend a new and more expansive definition of moral distress and examine how it can enable the development of a taxonomy of moral distress.     

An evaluation of multi‐criteria methods in integrated assessment of climate policy

Those who conduct integrated assessments (IAs) are aware of the need to explicitly consider multiple criteria and uncertainties when evaluating policies for preventing global warming. MCDM methods are potentially useful for understanding tradeoffs and evaluating risks associated with climate policy alternatives. A difficulty facing potential MCDM users is the wide range of different techniques that have been proposed, each with distinct advantages. Methods differ in terms of validity, ease of use, and appropriateness to the problem. Alternative methods also can yield strikingly different rankings of alternatives. A workshop was held in which climate change experts and policy makers evaluated the usefulness of MCDM for IA. Participants applied several methods in the context of a hypothetical greenhouse gas policy decision. Methods compared include value and utility functions, goal programming, ELECTRE, fuzzy sets, stochastic dominance, min max regret, and several weight selection methods. Ranges, rather than point estimates, were provided for some questions to incorporate imprecision regarding weights. Additionally, several visualization methods for both deterministic and uncertain cases were used and evaluated. Analysis of method results and participant feedback through questionnaires and discussion provide the basis for conclusions regarding the use of MCDM methods for climate change policy and IA analyses. Hypotheses are examined concerning predictive and convergent validity of methods, existence of splitting bias among experts, perceived ability of methods to aid decision‐making, and whether expressing imprecision can change ranking results. Because participants gained from viewing a problem from several perspectives and results from different methods often significantly differed, it appears worthwhile to apply several MCDM methods to increase user confidence and insight. The participants themselves recommended such multimethod approaches for policymaking. Yet they preferred the freedom of unaided decision‐making most of all, challenging the MCDM community to create transparent methods that permit maximum user control. Copyright © 2002 John Wiley & Sons, Ltd.     

Investigating the roots of the favourite–longshot bias: an analysis of decision making by supply‐ and demand‐side agents in parallel betting markets

This paper offers new insights into the behavioural origins of the ‘favourite–longshot’ bias — an established feature of betting markets, whereby longshots win less often than the subjective probabilities imply and favourites more often. A number of alternative explanations has been offered for this phenomenon but the main debate focuses on whether it is caused by the behaviour of those supplying betting markets (bookmakers) or of the demand‐side agents in these markets (bettors) . This study analyses a new data source which offers detailed information for a large sample of recent UK horseraces on decision‐making behaviour within the parimutuel and the parallel bookmaker‐based betting markets. The results offer strong evidence for the existence of the ‘favourite–longshot’ bias in bookmaker‐based markets, with a corresponding absence of such an effect in the parimutuel case. These results offer support for the view that the origins of the ‘favourite–longshot’ bias lie principally in the decisions of bookmakers rather than in the decisions of bettors. Copyright © 2000 John Wiley & Sons, Ltd.     

How do investors make predictions? Insights from analogical reasoning research

Previous work on investor decision making has focused almost exclusively on information specific to the company being judged. Consequently, every decision is viewed as a novel event, disconnected from the investor's existing knowledge. In this study, the analogical reasoning literature provides the theoretical support for arguing that investors frequently utilize existing knowledge as a basis for generating predictions about a company's future. The specific proposal is that investors transfer their existing knowledge via two different forms of analogical reasoning. The first, relational reasoning, is based primarily on structural correspondence between a novel company and an existing schema. The second, literal similarity reasoning, is based primarily on surface correspondence of a novel company and a previously encountered company. Our theoretical framework is tested in a study in which experienced investors predict the outcome of a novel company's strategy after reading about the experiences of other companies who implemented a similar strategy. The results are consistent with the occurrence of both relational and literal similarity reasoning, with relational reasoning emerging as the dominant approach to generating investors' predictions. Copyright © 2000 John Wiley & Sons, Ltd.