ERIC Number: EJ993138
Record Type: Journal
Publication Date: 2012-Nov
Pages: 14
Abstractor: As Provided
Reference Count: 21
ISBN: N/A
ISSN: ISSN-0278-7393
Tradeoffs between Sequences: Weighing Accumulated Outcomes against Outcome-Adjusted Delays
Read, Daniel; Scholten, Marc
Journal of Experimental Psychology: Learning, Memory, and Cognition, v38 n6 p1675-1688 Nov 2012
We extend the recently proposed "tradeoff model" of intertemporal choice (Scholten & Read, 2010) from choices between pairs of single outcomes to pairwise choices involving two-outcome sequences. The core of our proposal is that choices between sequences are made by weighing accumulated outcomes against outcome-adjusted delays. Thus extended, the tradeoff model offers a unified account of recently discovered anomalies in pairwise choices involving two-outcome sequences, including (a) the hidden-zero effect, in which explicit reference to the zero outcomes of the options increases patience, (b) the front-end amount effect, in which the addition of a front-end amount to both options decreases patience, and (c) the mere token effect, in which the addition of an early outcome to both options increases patience. Not only does the extended tradeoff model accommodate these anomalies, it also correctly predicts (d) violations of independence, (e) a reversal of the front-end amount effect, (f) the effect of relocating the front-end amount to the back end of both options, and (g) a dependence of the "mere" token effect on the magnitude of the token. In quantitative analyses, the extended tradeoff model offers an accurate account of the data. (Contains 7 figures, 3 tables, and 12 footnotes.)
Descriptors: Money Management, Selection, Models, Identification, Time, Decision Making, Statistical Analysis, Preferences
American Psychological Association. Journals Department, 750 First Street NE, Washington, DC 20002-4242. Tel: 800-374-2721; Tel: 202-336-5510; Fax: 202-336-5502; e-mail: order@apa.org; Web site: http://www.apa.org/publications
Publication Type: Journal Articles; Reports - Research
Education Level: Higher Education
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: N/A
Identifiers: N/A

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