2.3.3—Mistakes in decision-making

2.3.3 Mistakes in decision-making.

• thinking fast and thinking slow (system 1 and system 2) including explanations and examples of each, e.g. Shleifer (2012).
• choice blindness, preferences and defending a choice (exemplified by the following key study).
• Key study for choice blindness when tasting and smelling food items: Hall et al. (2010).
• consumer memory for advertising including how retroactive and proactive interference affect memory, including a study, e.g. Burke and Srull (1988).

This matters because —mistakes in decision-making determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply —mistakes in decision-making to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: —Mistakes in decision-making is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.