COGNITIVE BIAS MITIGATION: HOW TO MAKE DECISION-MAKING RATIONAL?
COGNITIVE BIAS MITIGATION: HOW TO MAKE DECISION-MAKING RATIONAL?
| Author: | Tomáš Kučera MSc. |
|---|---|
| Type: | IES Working Papers |
| Year: | 2020 |
| Number: | 1 |
| ISSN / ISBN: | |
| Published in: | IES Working Papers 1/2020 |
| Publishing place: | Prague |
| Keywords: | Behavioural economics, cognitive bias, confirmation bias, cognitive bias mitigation, confirmation bias mitigation, debiasing |
| JEL codes: | D03, D81, Y80 |
| Suggested citation: | Kucera T.(2020): "Cognitive Bias Mitigation: How to Make Decision-Making Rational?" IES Working Papers 1/2020. IES FSV. Charles University. |
| Abstract: | Cognitive biases distort judgement and adversely impact decision-making, which results in economic inefficiencies. Initial attempts to mitigate these biases met with little success. However, recent studies which used computer games and educational videos to train people to avoid biases (Clegg et al., 2014; Morewedge et al., 2015) showed that this form of training reduced selected cognitive biases by 30 %. In this work I report results of an experiment which investigated the debiasing effects of training on confirmation bias. The debiasing training took the form of a short video which contained information about confirmation bias, its impact on judgement, and mitigation strategies. The results show that participants exhibited confirmation bias both in the selection and processing of information, and that debiasing training effectively decreased the level of confirmation bias by 33 % at the 5% significance level. |
| Download | wp_2020_01_Kucera.pdf |
