Module 2.2b Thinking, Problem Solving, Judgments, and Decision Making: Solving Problems and Making Decisions

Learning Targets

• Cognitive Strategies for Problem Solving

  • Effective strategies include trial and error, algorithms, and heuristics.

  • Obstacles include confirmation bias, fixation, and belief perseverance.

Cognitive Strategies

• Algorithms: Step-by-step procedures guaranteeing a solution but are time-consuming.

• Heuristics: Simple mental shortcuts for quick decisions, often leading to errors.

• Insight: Sudden realizations or solutions that arise without formal strategies.

Biases and Their Effects

• Confirmation Bias: Tendency to favor information that confirms pre-existing beliefs.

• Fixation: Inability to approach a problem from a fresh perspective.

• Mental Set: Tendency to solve problems in the same way that has worked in the past.

Intuition and Heuristics

• Intuition: Automatic and fast evaluations, often based on past experiences.

• Representativeness Heuristic: Judging likelihood based on how well something matches prototypes.

• Availability Heuristic: Assessing events by how easily examples come to mind, skewed by vividness or recency.

Overconfidence and Belief Perseverance

• Overconfidence: Tendency to be more confident than correct, affecting decision-making.

• Belief Perseverance: Maintaining beliefs despite contradictory evidence, often aided by confirmation bias.

Framing and Decision-Making

• Framing: Presentation of information can significantly influence decisions. Positive framing can encourage beneficial choices, while negative framing can mislead.

Smart Uses of Intuition

• Adaptive Value: Smart thinkers use intuition effectively, recognizing when to rely on gut feelings versus rational thought.

• Incubation in Decision-Making: Letting a problem sit can allow the unconscious mind to process information and generate better solutions.