Module 2 Study Guide Flashcards

Decision-Making Process

The systematic approach consisting of four phases: Intelligence, Design, Choice, and Implementation.

Intelligence Phase

The first phase in decision-making that involves recognizing the need for a decision.

Design Phase

The second phase of decision making that involves generating and evaluating alternatives.

Choice Phase

The third phase of decision making that involves selecting an option

Implementation Phase

The last phase of decision making that involves executing the decision

Intuitive Dual-System Thinking

Fast, automatic, emotional

Reflective Dual-System Thinking

Slow, deliberate, logical

Heuristics

Mental shortcuts or rules of thumb that simplify decision-making.

Regression Fallacy

Failing to recognize that extreme events tend to revert to the mean

Anchoring Effect

Relying too much on the first piece of information given

Nudging

Subtle interventions that guide individuals toward better choices without restricting options.

Default Nudging

Making the most favorable choice the automatic option as a nudging strategy.

Framing Nudging

Presenting information in a way that influences decisions

Salience Nudging

Highlighting important important details to attract attention

Affective Forecasting

The process of predicting how future events will influence our emotional state.

Hindsight Bias

The tendency to see events as having been predictable after they have already occurred.

Identifiable Victim Effect

The phenomenon where individuals are more likely to help a single identifiable victim than a large group of victims.