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Bounded rationality

Bounded rationality
Bounded rationality is the idea that in decision-making, rationality of individuals is limited by the information they have, the cognitive limitations of their minds, and the finite amount of time they have to make a decision. It was proposed by Herbert A. Simon as an alternative basis for the mathematical modeling of decision making, as used in economics, political science and related disciplines; it complements rationality as optimization, which views decision-making as a fully rational process of finding an optimal choice given the information available.[1] Another way to look at bounded rationality is that, because decision-makers lack the ability and resources to arrive at the optimal solution, they instead apply their rationality only after having greatly simplified the choices available. Some models of human behavior in the social sciences assume that humans can be reasonably approximated or described as "rational" entities (see for example rational choice theory). Origins[edit]

Decision making Sample flowchart representing the decision process to add a new article to Wikipedia. Decision-making can be regarded as the cognitive process resulting in the selection of a belief or a course of action among several alternative possibilities. Every decision-making process produces a final choice that may or may not prompt action. Overview[edit] Edit human performance with regard to decisions has been the subject of active research from several perspectives: Psychological: examining individual decisions in the context of a set of needs, preferences and values the individual has or seeks.Cognitive: the decision-making process regarded as a continuous process integrated in the interaction with the environment.Normative: the analysis of individual decisions concerned with the logic of decision-making and rationality and the invariant choice it leads to.[1] Decision-making can also be regarded as a problem-solving activity terminated by a solution deemed to be satisfactory. Problem analysis

Rational choice theory Rationality is widely used as an assumption of the behavior of individuals in microeconomic models and analyses and appears in almost all economics textbook treatments of human decision-making. It is also central to some of modern political science,[2] sociology,[3] and philosophy. A particular version of rationality is instrumental rationality, which involves seeking the most cost-effective means to achieve a specific goal without reflecting on the worthiness of that goal. Definition and scope[edit] The concept of rationality used in rational choice theory is different from the colloquial and most philosophical use of the word. Early neoclassical economists writing about rational choice, including William Stanley Jevons, assumed that agents make consumption choices so as to maximize their happiness, or utility. Rational choice theorists do not claim that the theory describes the choice process, but rather that it predicts the outcome and pattern of choices. Formal statement[edit]

Recognition primed decision Decision-making model Recognition-primed decision (RPD) is a model of how people make quick, effective decisions when faced with complex situations. In this model, the decision maker is assumed to generate a possible course of action, compare it to the constraints imposed by the situation, and select the first course of action that is not rejected. Overview[edit] The RPD model identifies a reasonable reaction as the first one that is immediately considered. RPD reveals a critical difference between experts and novices when presented with recurring situations. Variations[edit] There are three variations in RPD strategy. Variation 2 occurs when the decision maker diagnoses an unknown situation to choose from a known selection of courses of action. In Variation 3, the decision maker is knowledgeable of the situation but unaware of the proper course of action. Application[edit] See also[edit] References[edit] Gary A.

• Statista - The Statistics Portal for Market Data, Market Research and Market Studies Overcoming Serious Indecisiveness Opportunity or Problem Recognition: A person discovers that a new opportunity exists or a problem needs resolution. Thirty-five years ago an entrepreneurial leader, Robert Cowan, recognized a new opportunity and asked, "Why do business meetings have to be conducted in person? Why can't they connect through television images?" Immersion: The individual concentrates on the problem and becomes immersed in it. Incubation: The person keeps the assembled information in mind for: a while. Insight: The problem-conquering solution flashes into the person's mind at an unexpected time, such as on the verge of sleep, during a shower, or while running. Verification and Application: The individual sets out to prove that the creative solution has merit. Overcoming traditional sequential thinking is so important to creative thinking that the process has been characterized in several different ways. A basic principle of learning is that practice is necessary to develop and improve skills.

Best Free Schedule Maker Tool + Productivity Guide by Expert April once struggled with her schedule, or the lack thereof. She works in ad sales at a large tech company in Manhattan. She used to hit her aggressive sales quotas year after year, but not anymore. The days of calmly and confidently representing her company and products were gone and so was fostering deep relationships with her clients. Those pressures infected April’s schedule. If you want to know what’s important to someone without asking them, where would you look? When it comes to using a schedule maker and planning your schedule, where do you begin? The trouble is, we don’t make time to live our values. Although each of us may subscribe to different values, it’s helpful to categorize them into three overlapping life domains. This concept is thousands of years old. More recently, Daniel Goleman, author of Focus: The Hidden Driver of Excellence, relates the domains of our life to how we split our attention.

SELF-ACTUALIZATION - BRAINMETA.COM - NEUROSCIENCE, CONSCIOUSNESS, BRAIN, MIND, MIND-BRAIN, NEUROINFORMATICS, NEURAL NETWORKS, BRAIN ATLASES Related: Psychedelics and Self-Actualization / Consciousness Expansion / Philosophy / Research Characteristics of Self-Actualizing People Maslow, on the basis of a study of persons (living and dead) selected as being self-actualizing persons on the basis of a general definition, described the self-actualizing person as follows, as compared to ordinary or average people (Maslow, 1956): 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Processes of Self-Actualizing People According to Maslow, there are two processes necessary for self-actualization: self exploration and action. Episodic Nature of Self-Actualization Later in life, realizing the episodic nature of self-realization, Maslow redefined Self-Actualization in terms of frequency of peak experiences. "In other words, any person in any of the peak experiences takes on temporarily many of the characteristics which I found in self-actualizing individuals. Such states or episodes can, in theory, come at any time in life to any person.

Stages of PLN adoption David Warlick wrote a post the other day about being able to zip up or turn off your Personal Learning Network (PLN). I too have been thinking about how one goes about starting a PLN, how do you monitor it, and how do you learn to shut it off. We all continue to push teachers to start PLNs if they haven’t already. Learning from the collective knowledge of educators around the world. I have noticed an emerging trend of what one goes through when adopting a PLN for the first time. As I’ve helped others start their PLNs I have found that many of them go through these same stages. Stages of Personal Learning Networks Adoption Stage 1 Immersion: Immerse yourself into networks. Stage 2 Evaluation: Evaluate your networks and start to focus in on which networks you really want to focus your time on. Stage 3 Know it all: Find that you are spending many hours trying to learn everything you can. Stage 4 Perspective: Start to put your life into perspective. [tags]PLN[/tags]

Leaders Emerge by Talking First and Most Often « PsyBlog There is a big gap between the actual competence of leaders and the way in which they are perceived by others. Put some random people in a group, give them a task and soon enough a leader will emerge. What is it about that person that makes others grant them the honour of being in charge? New insight comes from a study published in Personality and Social Psychology, which suggests that leaders emerge through a combination of their own outspoken behaviour, and how this outspoken behaviour is perceived by others. In two studies Anderson and Kilduff (2009) from the University of California, Berkeley, looked at how dominant individuals in a group were perceived by others in the group. In the second of two studies Anderson and Kilduff had participants attempting a series of maths problems in competition with another group. This study suggests leaders emerge through more subtle processes than the word ‘dominance’ might imply. » See also: 7 Reasons Leaders Fail. [Image credit: Nod Young]

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