scholarly journals Decision making does not benefit from using a foreign language: Evidence from cognitive reflection effects on intertemporal choice.

2020 ◽  
Author(s):  
Michal Bialek ◽  
Artur Domurat ◽  
Mariola Paruzel-Czachura ◽  
Rafal Muda
Keyword(s):  
Decision Making ◽  
Foreign Language ◽  
Decision Maker ◽  
Intertemporal Choice ◽  
Reference Points ◽  
Discount Rates ◽  
Negative Effects ◽  
Cognitive Reflection ◽  
Intertemporal Choices

Intertemporal choice requires to decide between smaller sooner and larger later payoffs, and is captured by discount rates. Across two preregistered experiments we found no evidence that using a foreign language benefitted intertemporal choices. On the contrary, there was some evidence of stronger discounting when a foreign language was used. Our results confirm that more reflective individuals tend to discount less strongly, and their intertemporal choices are also more consistent across different reference points and perspectives. In turn, this allows for greater consistency in long-term planning, benefitting a decision maker. Thinking in a foreign language did not affect such consistency, and may actually have negative effects for reflective people. Finally, although our findings hint that the benefits of cognitive reflection may be reduced when using a foreign language. This raises the questions as to why and how using a foreign language helps only some individuals, and in some decisions.

scholarly journals Anomalies: Intertemporal Choice

1989 ◽  
Vol 3 (4) ◽  
pp. 181-193 ◽  
Author(s):  
George Loewenstein ◽  
Richard H Thaler
Keyword(s):  
Decision Making ◽  
Time Delay ◽  
Discount Rate ◽  
Intertemporal Choice ◽  
Discount Rates ◽  
Market Rate ◽  
Money Flows ◽  
Speed Up ◽  
The Way

We examine a number of situations in which people do not appear to discount money flows at the market rate of interest or any other single discount rate. Discount rates observed in both laboratory and field decision-making environments are shown to depend on the magnitude and sign of what is being discounted, on the time delay, on whether the choice is cast in terms of speed-up or delay, on the way in which a choice is framed, and on whether future benefits or costs induce savoring or dread.

scholarly journals Poverty and Economic Decision-Making: Evidence from Changes in Financial Resources at Payday

2016 ◽  
Vol 106 (2) ◽  
pp. 260-284 ◽  
Author(s):  
Leandro S. Carvalho ◽  
Stephan Meier ◽  
Stephanie W. Wang
Keyword(s):  
Decision Making ◽  
Cognitive Function ◽  
Low Income ◽  
Online Survey ◽  
Intertemporal Choice ◽  
Financial Resources ◽  
Economic Decision Making ◽  
Choice Tasks ◽  
Intertemporal Choices

We study the effect of financial resources on decision-making. Low-income US households are randomly assigned to receive an online survey before or after payday. The survey collects measures of cognitive function and administers risk and intertemporal choice tasks. The study design generates variation in cash, checking and savings balances, and expenditures. Before-payday participants behave as if they are more present-biased when making intertemporal choices about monetary rewards but not when making intertemporal choices about nonmonetary real-effort tasks. Nor do we find before-after differences in risk-taking, the quality of decision-making, the performance in cognitive function tasks, or in heuristic judgments. (JEL C83, D14, D81, D91, I32)

scholarly journals Loss Aversion and Consumption Plans with Stochastic Reference Points

2016 ◽  
Vol 16 (1) ◽  
pp. 303-336 ◽  
Author(s):  
Hyeon Park
Keyword(s):  
Decision Maker ◽  
Loss Aversion ◽  
Intertemporal Choice ◽  
Choice Model ◽  
State Dependence ◽  
Analytic Solutions ◽  
The State ◽  
Reference Points ◽  
State Dependent ◽  
The Individual

AbstractThis paper studies the making of risky choices following loss aversion with endogenous reference expectations under the two schemes of state-independent and state-dependent stochastic reference points. Using a tractable, intertemporal choice model, this paper derives analytic solutions to show that, when loss aversion is high, the reference-dependent decision maker saves a markedly larger amount than is predicted by the standard model. When the loss aversion is low (i.e. the individual is loss-tolerant), the overall result is ambiguous, although the decision maker may deviate into consuming more; if he faces a small level of uncertainty relative to the intensity of his loss aversion, he may even do this by borrowing. Given the same loss aversion level, this study determines that, in the presence of positive state-dependence, the state-independent model generates greater deviation than the state-dependent one. Finally, this paper derives a two-period general equilibrium result with two agents who have different attitudes toward loss.

scholarly journals Intertemporal choice reflects value comparison rather than self-control: insights from confidence judgments

2021 ◽  
Author(s):  
Adam Bulley ◽  
Karolina Maria Lempert ◽  
Colin Conwell ◽  
Muireann Irish
Keyword(s):  
Decision Making ◽  
Intertemporal Choice ◽  
The Self ◽  
Self Control ◽  
Confidence Judgments ◽  
Adult Participants ◽  
Subjective Value ◽  
The Right ◽  
Intertemporal Decisions ◽  
Intertemporal Choices

Intertemporal decision-making has long been assumed to measure self-control, with prominent theories treating choices of smaller, sooner rewards as failed attempts to override immediate temptation. If this view is correct, people should be more confident in their intertemporal decisions when they “successfully” delay gratification than when they do not. In two pre- registered experiments with built-in replication, adult participants (n=117) made monetary intertemporal choices and rated their confidence in having made the right decisions. Contrary to assumptions of the self-control account, confidence was not higher when participants chose delayed rewards. Rather, participants were more confident in their decisions when possible rewards were further apart in time-discounted subjective value, closer to the present, and larger in magnitude. Demonstrating metacognitive insight, participants were more confident in decisions that better aligned with their independent valuation of possible rewards. Decisions made with less confidence were more prone to changes-of-mind and more susceptible to a patience-enhancing manipulation. Together, our results establish that confidence in intertemporal choice tracks uncertainty in estimating and comparing the value of possible rewards – just as it does in decisions unrelated to self-control. Our findings challenge self- control views and instead cast intertemporal choice as a form of value-based decision-making about future possibilities.

scholarly journals THE ROLE OF NUMERACY AND IMPULSIVITY IN INTERTEMPORAL CHOICE AND DECISION MAKING

2020 ◽  
Vol 13 (1) ◽  
pp. 254-272 ◽  
Author(s):  
Jiuqing Cheng
Keyword(s):  
Decision Making ◽  
Intertemporal Choice ◽  
Choice Preference ◽  
Psychological Mechanisms ◽  
Growing Body ◽  
Intertemporal Choices

A growing body of research has indicated a relationship between numeracy and decision making and that lower numerate people display more disadvantageous decisions. In the domain of intertemporal choice, researchers have long been using impulsivity to address choice preference. To further illuminate the psychological mechanisms of making intertemporal choices, the present study examined the role of impulsivity and numeracy in intertemporal choice, in the presence of each other. The study adopted both subjective and numeracy scales. These scales correlated with each other and with intertemporal choice preference. Moreover, it was found that after controlling for impulsivity, the object numeracy was significantly associated with choice preference, with higher numerate participants showing a stronger preference toward the later larger gains over the sooner smaller gains. Thus, the study indicated that intertemporal choice preference could be attributed to both impulsivity and numeracy.

scholarly journals Testing the Foreign Language Effect on Cognitive Reflection in Older Adults

2021 ◽  
Vol 11 (11) ◽  
pp. 1527
Author(s):  
Mariana Vega-Mendoza ◽  
Patrik Hansson ◽  
Daniel Eriksson Sörman ◽  
Jessica K. Ljungberg
Keyword(s):  
Older Adults ◽  
Decision Making ◽  
Foreign Language ◽  
Successful Aging ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Moral Decision Making ◽  
Cognitive Reflection Test ◽  
Reasoning Task ◽  
Cognitive Reflection

An increasing number of people around the world communicate in more than one language, resulting in them having to make decisions in a foreign language on a daily basis. Interestingly, a burgeoning body of literature suggests that people’s decision-making is affected by whether they are reasoning in their native language (NL) or their foreign language (FL). According to the foreign language effect (FLe), people are less susceptible to bias in many decision-making tasks and more likely to display utilitarian cost-benefit analysis in moral decision-making when reasoning in a FL. While these differences have often been attributed to a reduced emotionality in the FL, an emerging body of literature has started to test the extent to which these could be attributable to increased deliberation in the FL. The present study tests whether increased deliberation leads to a FLe on cognitive reflection in a population of older adults (Mage = 65.1), from the successful aging project in Umeå, Sweden. We explored whether performance on a 6-item version of the cognitive reflection test (CRT) adapted to Swedish would differ between participants for whom Swedish was their NL and those for whom Swedish was their FL. The CRT is a task designed to elicit an incorrect, intuitive answer. In order to override the intuitive answer, one requires engaging in deliberative, analytical thinking to determine the correct answer. Therefore, we hypothesized that if thinking in a FL increases deliberation, then those performing the task in their FL would exhibit higher accuracy rates than those performing in their NL. Our results showed that age and level of education predicted performance on the task but performance on the CRT did not differ between the NL and the FL groups. In addition, in the FL group, proficiency in the FL was not related to performance in the CRT. Our results, therefore, do not provide evidence that thinking in a FL increases deliberation in a group of older adults performing a logical reasoning task that is not typically associated with an emotional connotation.

scholarly journals Influence of Discrimination in the Field of TESOL: Perspectives of Mexican EFL Teachers

2020 ◽  
Vol 21 ◽  
pp. 69-89
Author(s):  
Edgar Emmanuell Garcia-Ponce
Keyword(s):  
Decision Making ◽  
Foreign Language ◽  
Research Evidence ◽  
Teaching English ◽  
Negative Effects ◽  
Online Questionnaire ◽  
Effective Strategies ◽  
Language Status ◽  
Efl Teachers ◽  
Speakers Of Other Languages

In the last few decades, several studies have documented the discrimination that teachers face in the field of Teaching English for Speakers of Other Languages (TESOL). To date, research evidence has shown that discrimination tends to be motivated by issues concerning the native- vers. non-native language status of these professionals. However, recent evidence has suggested that discrimination in TESOL is intricate involving factors that are associated with the language status of teachers, their pronunciation, gender, race, sexual preference, age, among others. Despite the fact that this evidence has revealed the struggles of these professionals, no research discourse, to my knowledge, has shown the extent to which these phenomena impact on the professionals’ perceptions, feelings and decision making. In response to this, the present study was conducted to understand the effects and results of discrimination in the field of TESOL in Mexico from the professionals’ perspectives. Through an online questionnaire, 78 Mexican English as a foreign language (EFL) teachers were asked to describe the instances in which they felt discriminated, and how these influenced their perceptions and decision making concerning their profession. The results show that the discrimination practices impact in complex ways, showing negative effects on the professionals’ perceptions, feelings and decisions regarding their current profession. This evidence calls for more effective strategies in order to stop affecting teachers in ELT.

Long–Term Orientation and Intertemporal Choice in Family Firms

2011 ◽  
Vol 35 (6) ◽  
pp. 1149-1169 ◽  
Author(s):  
G. T. Lumpkin ◽  
Keith H. Brigham
Keyword(s):  
Family Firms ◽  
Intertemporal Choice ◽  
Higher Order ◽  
Self Control ◽  
Three Dimensions ◽  
Dominant Logic ◽  
Over Time ◽  
Intertemporal Choices

A long–term orientation (LTO) is often associated with family firms, but the LTO construct is underdeveloped. This paper sets forth a framework for studying LTO in family firms including developing three dimensions—futurity, continuity, and perseverance. It identifies LTO as a higher–order heuristic that, in matters of intertemporal choice, provides a dominant logic for decisions and actions. Intertemporal choice refers to decisions with payoffs or outcomes that play out over time. Three mechanisms affecting intertemporal choices are identified—representation, self–control, and anticipation. LTO and intertemporal choice are further examined and discussed in the context of family firms.

Issues of Capacity and Decision-Making in the Context of Delirium

2015 ◽  
Vol 24 (4) ◽  
pp. 140-145
Author(s):  
Kevin R. Patterson
Keyword(s):  
Decision Making ◽  
Patient Autonomy ◽  
Care Setting ◽  
Cognitive Change ◽  
Treatment Team ◽  
Precipitating Factors ◽  
Term Care ◽  
Decision Making Capacity ◽  
Fundamental Consideration

Decision-making capacity is a fundamental consideration in working with patients in a clinical setting. One of the most common conditions affecting decision-making capacity in patients in the inpatient or long-term care setting is a form of acute, transient cognitive change known as delirium. A thorough understanding of delirium — how it can present, its predisposing and precipitating factors, and how it can be managed — will improve a speech-language pathologist's (SLPs) ability to make treatment recommendations, and to advise the treatment team on issues related to communication and patient autonomy.

Cognitive Reflection Effects on Time Discounting

2018 ◽  
Vol 39 (2) ◽  
pp. 99-106 ◽  
Author(s):  
Michał Białek ◽  
Przemysław Sawicki
Keyword(s):  
Individual Differences ◽  
Individual Difference ◽  
Delay Discounting ◽  
Reference Point ◽  
Reference Points ◽  
Cognitive Reflection Test ◽  
Process Information ◽  
Time Discounting ◽  
Cognitive Reflection ◽  
The Way

Abstract. In this work, we investigated individual differences in cognitive reflection effects on delay discounting – a preference for smaller sooner over larger later payoff. People are claimed to prefer more these alternatives they considered first – so-called reference point – over the alternatives they considered later. Cognitive reflection affects the way individuals process information, with less reflective individuals relying predominantly on the first information they consider, thus, being more susceptible to reference points as compared to more reflective individuals. In Experiment 1, we confirmed that individuals who scored high on the Cognitive Reflection Test discount less strongly than less reflective individuals, but we also show that such individuals are less susceptible to imposed reference points. Experiment 2 replicated these findings additionally providing evidence that cognitive reflection predicts discounting strength and (in)dependency to reference points over and above individual difference in numeracy.

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