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Journal ArticleDOI

The Framing of Decisions and the Psychology of Choice

Amos Tversky, +1 more
- 30 Jan 1981 - 
- Vol. 211, Iss: 4481, pp 453-458
TLDR
The psychological principles that govern the perception of decision problems and the evaluation of probabilities and outcomes produce predictable shifts of preference when the same problem is framed in different ways.
Abstract
The psychological principles that govern the perception of decision problems and the evaluation of probabilities and outcomes produce predictable shifts of preference when the same problem is framed in different ways. Reversals of preference are demonstrated in choices regarding monetary outcomes, both hypothetical and real, and in questions pertaining to the loss of human lives. The effects of frames on preferences are compared to the effects of perspectives on perceptual appearance. The dependence of preferences on the formulation of decision problems is a significant concern for the theory of rational choice.

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Citations
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Running experiments on Amazon Mechanical Turk

TL;DR: The authors presented new demographic data about the Mechanical Turk subject population, reviewed the strengths of Mechanical Turk relative to other online and offline methods of recruiting subjects, and compared the magnitude of effects obtained using Mechanical Turk and traditional subject pools.
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Heuristics and Biases: The Psychology of Intuitive Judgment

TL;DR: In this article, a review is presented of the book "Heuristics and Biases: The Psychology of Intuitive Judgment, edited by Thomas Gilovich, Dale Griffin, and Daniel Kahneman".
Journal ArticleDOI

Regret Theory: An Alternative Theory of Rational Choice Under Uncertainty

TL;DR: The main body of current economic analysis of choice under uncertainty is built upon a small number of basic axioms, formulated in slightly different ways by von Neumann and Morgenstern (I 947), Savage (1 954), and others.
Journal ArticleDOI

Evaluating Online Labor Markets for Experimental Research: Amazon.com's Mechanical Turk

TL;DR: It is shown that respondents recruited in this manner are often more representative of the U.S. population than in-person convenience samples but less representative than subjects in Internet-based panels or national probability samples.
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Developing relationships in business networks

TL;DR: In this article, the authors apply the network approach to the analysis of business relationships in a global context, drawing on a number of international case studies, giving rise to theoretical and practical managerial insights and a different way of conceptualizing companies within markets.
References
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Book ChapterDOI

Prospect theory: an analysis of decision under risk

TL;DR: In this paper, the authors present a critique of expected utility theory as a descriptive model of decision making under risk, and develop an alternative model, called prospect theory, in which value is assigned to gains and losses rather than to final assets and in which probabilities are replaced by decision weights.
Book

Judgment Under Uncertainty: Heuristics and Biases

TL;DR: The authors described three heuristics that are employed in making judgements under uncertainty: representativeness, availability of instances or scenarios, and adjustment from an anchor, which is usually employed in numerical prediction when a relevant value is available.
Book

Theory of Games and Economic Behavior

TL;DR: Theory of games and economic behavior as mentioned in this paper is the classic work upon which modern-day game theory is based, and it has been widely used to analyze a host of real-world phenomena from arms races to optimal policy choices of presidential candidates, from vaccination policy to major league baseball salary negotiations.
Journal ArticleDOI

A Behavioral Model of Rational Choice

TL;DR: In this article, a model for the description of rational choice by organisms of limited computational ability is proposed, and the model is used to describe rational choice in organisms with limited computational abilities.