Nataly Aguirre - Stress, Risk, and Reward in Financial Decision-Making: The Roles of Probability and Magnitude

Considerable research suggests acute stress influences decision-making. There has, however, been a lack of research examining the possibility that separable components of the stress response may influence decision-making differently: the sympatho-adrenomedullary (SAM) and hypothalamic-pituitary-adrenal (HPA) axes. In the current pilot study, participants engaged in a gambling task where they made choices between decisions of varied probability and magnitude for potential gains of money after being exposed to acute stress (via a variant of the cold pressor task). Further, the timing of the stressor was varied to allow examination of SAM and HPA effects separately. Cortisol and skin conductance were measured. Given the task was in the gain frame only, in support of past research on framing results indicated that individuals made significantly more conservative or risk-averse choices in the gambling. Further, risk-taking scaled to the expected value of a decision. Males made more risk-seeking choices as compared to females. Divergent from the original hypothesis, however, stress of neither type had an effect on individuals’ risk-taking overall, nor as a function of probability or magnitude. This suggests that decisions framed as potential gains may not be influenced by stress as readily as decisions framed as potential losses, and that stress may not alter how people perceive the probability or magnitude associated with a decision. Methodological flaws highlighted by the pilot study which may have contributed to the lack of a stress effect will also be discussed.https://epublications.marquette.edu/mcnair_2013/1000/thumbnail.jp

Evaluation of live human-computer music-making: Quantitative and qualitative approaches

NOTICE: this is the author’s version of a work that was accepted for publication in International Journal of Human-Computer Studies. Changes resulting from the publishing process, such as peer review, editing, corrections, structural formatting, and other quality control mechanisms may not be reflected in this document. Changes may have been made to this work since it was submitted for publication. A definitive version was subsequently published in International Journal of Human-Computer Studies, [VOL 67,ISS 11(2009)] DOI: 10.1016/j.ijhcs.2009.05.00

A Short-term Intervention for Long-term Fairness in the Labor Market

The persistence of racial inequality in the U.S. labor market against a general backdrop of formal equality of opportunity is a troubling phenomenon that has significant ramifications on the design of hiring policies. In this paper, we show that current group disparate outcomes may be immovable even when hiring decisions are bound by an input-output notion of "individual fairness." Instead, we construct a dynamic reputational model of the labor market that illustrates the reinforcing nature of asymmetric outcomes resulting from groups' divergent accesses to resources and as a result, investment choices. To address these disparities, we adopt a dual labor market composed of a Temporary Labor Market (TLM), in which firms' hiring strategies are constrained to ensure statistical parity of workers granted entry into the pipeline, and a Permanent Labor Market (PLM), in which firms hire top performers as desired. Individual worker reputations produce externalities for their group; the corresponding feedback loop raises the collective reputation of the initially disadvantaged group via a TLM fairness intervention that need not be permanent. We show that such a restriction on hiring practices induces an equilibrium that, under particular market conditions, Pareto-dominates those arising from strategies that statistically discriminate or employ a "group-blind" criterion. The enduring nature of equilibria that are both inequitable and Pareto suboptimal suggests that fairness interventions beyond procedural checks of hiring decisions will be of critical importance in a world where machines play a greater role in the employment process.Comment: 10 page

E-mail and Direct Participation in Decision Making: A Literature Review

This paper reviews the literature on the effects of the use of e-mail on direct participation in decision making (PDM) in organisations. After a brief review of the organisational literature on participation the paper distinguishes e-mail theories on direct participation in three different theoretical perspectives. Then the paper focuses the attention on the role of e-mail in affecting task type, vertical and horizontal communication and their consequences for PDM. Finally the paper presents indications and open questions for future research.email, e-mail, decision making, participation in decision making, literature review,

A Behavioral Approach to Learning in Economics - Towards an Economic Theory of Contingent Learning

In economics, adjustment of behavior has traditionally been treated as a "black box." Recent approaches that focus on learning behavior try to model, test, and simulate specific adjustment mechanisms in specific environments (mostly in games). Results often critically depend on distinctive assumptions, and are not easy to generalize. This paper proposes a different approach that aims to allow for more general conclusions in a methodologically more compatible way. It is argued that the introduction of the main determinants of learning behavior as situational restrictions into the standard economic model may be a fruitful way to capture some important aspects of human behavior that have often been omitted in economic theory. Based on a simple model of learning behavior (learning loop), robust findings from psychology are used to explain behavior adjustment, and to identify its determinants (contingent learning). An integrative methodology is proposed where the "black box" is not opened, but instead the factors that determine what happens inside, and the limits imposed by theses factors can be analyzed and used for model building. The paper concludes with testable hypotheses about learning behavior in the context of economics.microeconomics, game theory, learning theory, experiments

Dynamic systems as tools for analysing human judgement

With the advent of computers in the experimental labs, dynamic systems have become a new tool for research on problem solving and decision making. A short review on this research is given and the main features of these systems (connectivity and dynamics) are illustrated. To allow systematic approaches to the influential variables in this area, two formal frameworks (linear structural equations and finite state automata) are presented. Besides the formal background, it is shown how the task demands of system identification and system control can be realized in these environments and how psychometrically acceptable dependent variables can be derived