nep-neu New Economics Papers
on Neuroeconomics
Issue of 2018‒10‒08
three papers chosen by

  1. Transcranial Direct Current Stimulation Of The Medial Frontal Cortex Modulates Choice-Induced Preference Changes By Marco Colosio; Elena Rybina; Anna Shestakova; Vasily Klucharev
  2. Food Anticipation Enhances Cognitive Ability of Overweight and Obese in the Presence of Hunger By Segovia, Michelle; Palma, Marco A.; Nayga, Rodolfo M.
  3. Robust Inference in Risk Elicitation Tasks By Ola Andersson; Håkan J. Holm; Jean-Robert Tyran; Erik Wengström

  1. By: Marco Colosio (National Research University Higher School of Economics); Elena Rybina (National Research University Higher School of Economics); Anna Shestakova (National Research University Higher School of Economics); Vasily Klucharev (National Research University Higher School of Economics)
    Abstract: Cognitive dissonance arises as a reaction to conflict appearing in choices between two equally attractive options. It leads to changes in the desirability of these options. The chosen option becomes more desirable whereas the rejected option is devalued. Despite cognitive dissonance being largely used by social psychologists to explain social conformity and preference re-evaluation, little is known about the neural mechanisms of such choice-induced preference changes. In this study, we modulated the activity of the posterior medial frontal cortex (pMFC), which has been found to be involved in cognitive dissonance in neuroimaging studies. We influenced the activity of the pMFC before individual choices using both cathodal and anodal transcranial Direct Current Stimulation (tDCS) during a revised version of Brehm's free-choice paradigm. Our results showed that cathodal tDCS over the pMFC significantly decreased the typical choice-induced preference change relative to a sham stimulation. On the contrary, no significant effect of anodal tDCS was observed. Our findings of the influence cathodal tDCS on preference re-evaluation highlight the central contribution of the pMFC in cognitive dissonance and provide evidence that pMFC plays a key role in the implementation of subsequent post-decision preference change.
    Keywords: cognitive dissonance, social psychology, choice-induced preference changes, medial frontal cortex, transcranial direct current stimulation, cathodal tDCS, anodal tDCS
    JEL: Z
    Date: 2018
  2. By: Segovia, Michelle; Palma, Marco A.; Nayga, Rodolfo M.
    Keywords: Experimental Economics, Food and Agricultural Policy Analysis, Behavioral & Institutional Economics
    Date: 2018–06–20
  3. By: Ola Andersson (Uppsala University and IFN); Håkan J. Holm (Lund University, Department of Economics); Jean-Robert Tyran (University of Vienna, Department of Economics and University of Copenhagen, Department of Economics); Erik Wengström (University of Vienna, Department of Economics and University of Copenhagen, Department of Economics)
    Abstract: Recent experimental evidence suggests that noisy behavior correlates strongly with cognitive ability. This puts previous studies that found a negative relation between cognitive ability and risk aversion into perspective and in particular raises the question of how to achieve robust inference in this domain. This paper shows that using structural estimation that models heterogeneity of noise in combination with a balanced design allows us to mitigate the bias problem. Our estimations show that cognitive ability is related to noisy behavior rather than risk preferences. We also find age and education to be strongly related to noise, but the personality characteristics obtained using the Big Five inventory, are less related to noise and more robustly correlated to risk preferences.
    Keywords: Risk preference, cognitive ability, experiment, noise
    JEL: C81 C91 D81
    Date: 2018–09–26

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