Decision‐makers use social information to update their preferences but choose for others as they do for themselves

Citation

Michael J, Gutoreva A, Lee MH, Tan PN, Bruce EM, Székely M, Ankush T, Sakaguchi H, Walasek L & Ludvig EA (2020) Decision‐makers use social information to update their preferences but choose for others as they do for themselves. Journal of Behavioral Decision Making, 33 (3), pp. 270-286. https://doi.org/10.1002/bdm.2163

Abstract
People's risky decisions are susceptible to the social context in which they take place. Across three experiments using different paradigms, we investigated the influence of three social factors upon participants' decisions: the recipient of the decision‐making outcome (self, other, or joint), the nature of the relationship with the other agent (friend, stranger, or teammate), and the type of information that participants received about others' preferences: none at all, general information about how previous participants had decided, or information about a specific partner's preference. We found that participants' decisions about risk did not differ according to whether the outcome at stake was their own, another agent's, or a joint outcome, nor according to the type of information available. Participants did, however, adjust their preferences for risky options in light of social information.

Keywords
coordination; decision making for others; risk taking; social distance; social information

Journal
Journal of Behavioral Decision Making: Volume 33, Issue 3