Influence of information on behavioral effects in decision processes

Abstract

Rational models in decision processes are marked out by many anomalies, caused by behavioral issues. We point out the importance of information in causing inconsistent preferences in a decision process. In a single or multi agent decision process each mental model is influenced by the presence, the absence or false information about the problem or about other members of the decision making group. The difficulty in modeling these effects increases because behavioral biases influence also the modeler. Behavioral Operational Research (BOR) studies these influences to create efficient models to define choices in similar decision processes.

Keywords

• Behavioral Operational Research, Intertemporal Choice, Information in Decision Processes