A Biased Bayesian Inference for Decision-Making and Cognitive Control

Resource-rational account of sequential effects in human prediction

An abundant literature reports on 'sequential effects' observed when humans make predictions on the basis of stochastic sequences of stimuli. Such sequential effects represent departures from an optimal, Bayesian process. A prominent explanation posits that humans are adapted to changing environments, and erroneously assume non-stationarity of the environment, even if the latter is static. As a result, their predictions fluctuate over time. We propose a different explanation in which sub-optimal and fluctuating predictions result from cognitive constraints (or costs), under which humans however behave rationally. We devise a framework of costly inference, in which we develop two classes of models that differ by the nature of the constraints at play: in one case the precision of beliefs comes at a cost, resulting in an exponential forgetting of past observations, while in the other beliefs with high predictive power are favored. To compare model predictions to human behavior, we carry out a prediction task that uses binary random stimuli, with probabilities ranging from 0.05 to 0.95. Although in this task the environment is static and the Bayesian belief converges, subjects' predictions fluctuate and are biased toward the recent stimulus history. Both classes of models capture this 'attractive effect', but they depart in their characterization of higher-order effects. Only the precision-cost model reproduces a 'repulsive effect', observed in the data, in which predictions are biased away from stimuli presented in more distant trials. Our experimental results reveal systematic modulations in sequential effects, which our theoretical approach accounts for in terms of rationality under cognitive constraints.

Perceived vulnerability to infectious disease and perceived harmfulness are as predictive of citizen response to COVID-19 as partisanship

Partisans have biased perceptions of objective conditions. At first glance, the COVID-19 pandemic would appear to be an example of this phenomenon. Noting that most citizens have consistently agreed about the pandemic, I argue that we have overlooked pre-political factors that are as influential as partisanship in shaping citizens' responses to the pandemic. I identify one such construct in perceived vulnerability to infectious disease (PVD). In one cross-sectional study and one panel study, I find that the influence of PVD on citizens' perceptions of COVID-19 equals that of partisanship. I also find that PVD can moderate the influence of partisanship on perceptions of harmfulness, nearly erasing the impact of being a Republican on perceiving COVID-19 as a threat. When led by PVD as well as partisanship to accurately perceive harm, citizens, including Republicans, attribute more responsibility to former president Donald Trump for his failed handling of the crisis.

Arc regulates a second-guessing cognitive bias during naturalistic foraging through effects on discrete behavior modules

Foraging in animals relies on innate decision-making heuristics that can result in suboptimal cognitive biases in some contexts. The mechanisms underlying these biases are not well understood, but likely involve strong genetic effects. To explore this, we studied fasted mice using a naturalistic foraging paradigm and discovered an innate cognitive bias called "second-guessing." This involves repeatedly investigating an empty former food patch instead of consuming available food, which hinders the mice from maximizing feeding benefits. The synaptic plasticity gene Arc is revealed to play a role in this bias, as Arc-deficient mice did not exhibit second-guessing and consumed more food. In addition, unsupervised machine learning decompositions of foraging identified specific behavior sequences, or "modules", that are affected by Arc. These findings highlight the genetic basis of cognitive biases in decision making, show links between behavior modules and cognitive bias, and provide insight into the ethological roles of Arc in naturalistic foraging.

A quantum-like cognitive approach to modeling human biased selection behavior

Cognitive biases of the human mind significantly influence the human decision-making process. However, they are often neglected in modeling selection behaviors and hence deemed irrational. Here, we introduce a cognitive quantum-like approach for modeling human biases by simulating society as a quantum system and using a Quantum-like Bayesian network (QBN) structure. More specifically, we take inspiration from the electric field to improve our recent entangled QBN approach to model the initial bias due to unequal probabilities in parent nodes. Entangled QBN structure is particularly suitable for modeling bias behavior due to changing the state of systems with each observation and considering every decision-maker an integral part of society rather than an isolated agent. Hence, biases caused by emotions between agents or past personal experiences are also modeled by the social entanglement concept motivated by entanglement in quantum physics. In this regard, we propose a bias potential function and a new quantum-like entanglement witness in Hilbert space to introduce a biased variant of the entangled QBN (BEQBN) model based on quantum probability. The predictive BEQBN is evaluated on two well-known empirical tasks. Results indicate the superiority of the BEQBN by achieving the first rank compared to classical BN and six QBN approaches and presenting more realistic predictions of human behaviors.

Does Financial Mindfulness Make a Difference? A Nexus of Financial Literacy and Behavioural Biases in Women Entrepreneurs

This article aims to determine the intervening strength of financial mindfulness between financial literacy and behavioural biases in women entrepreneurs. The literature has an enduring discussion regarding the profoundly unique financial behaviour of women. Financial literacy and behavioural biases constitute a recurrent research topic, yet how this nexus exists in the premise of women’s entrepreneurship is not well known. Building on this gap, we examined the impact of financial literacy on women entrepreneurs’ behavioural biases by focusing on financial mindfulness as a potential moderator. A random sample of 346 women entrepreneurs operating in Pakistan was analysed using structural equation modelling through AMOS 21. The results revealed a significant direct impact of financial literacy on reducing anchoring and herding bias; however, financial literacy was found to be unrelated to mental accounting bias. The moderation analysis further revealed interesting indirect impacts, such that financial literacy strongly reduced mental accounting and herding bias for financially mindful women. Nonetheless, financial mindfulness does not negatively catalyse the relationship between financial literacy and anchoring bias. By encompassing the concepts of financial literacy, mindfulness and behavioural biases, we offer a unique theoretical strand with practical implications for women entrepreneurs. We suggest new avenues for the longstanding dilemma related to the factors instigating suboptimal financial decision-making in women entrepreneurs in developing markets.

Computational approaches and machine learning for individual-level treatment predictions

RATIONALE

The impact of neuroscience-based approaches for psychiatry on pragmatic clinical decision-making has been limited. Although neuroscience has provided insights into basic mechanisms of neural function, these insights have not improved the ability to generate better assessments, prognoses, diagnoses, or treatment of psychiatric conditions.

OBJECTIVES

To integrate the emerging findings in machine learning and computational psychiatry to address the question: what measures that are not derived from the patient's self-assessment or the assessment by a trained professional can be used to make more precise predictions about the individual's current state, the individual's future disease trajectory, or the probability to respond to a particular intervention?

RESULTS

Currently, the ability to use individual differences to predict differential outcomes is very modest possibly related to the fact that the effect sizes of interventions are small. There is emerging evidence of genetic and neuroimaging-based heterogeneity of psychiatric disorders, which contributes to imprecise predictions. Although the use of machine learning tools to generate clinically actionable predictions is still in its infancy, these approaches may identify subgroups enabling more precise predictions. In addition, computational psychiatry might provide explanatory disease models based on faulty updating of internal values or beliefs.

CONCLUSIONS

There is a need for larger studies, clinical trials using machine learning, or computational psychiatry model parameters predictions as actionable outcomes, comparing alternative explanatory computational models, and using translational approaches that apply similar paradigms and models in humans and animals.

Performance monitoring for sensorimotor confidence: A visuomotor tracking study

To best interact with the external world, humans are often required to consider the quality of their actions. Sometimes the environment furnishes rewards or punishments to signal action efficacy. However, when such feedback is absent or only partial, we must rely on internally generated signals to evaluate our performance (i.e., metacognition). Yet, very little is known about how humans form such judgements of sensorimotor confidence. Do they monitor their actual performance or do they rely on cues to sensorimotor uncertainty? We investigated sensorimotor metacognition in two visuomotor tracking experiments, where participants followed an unpredictably moving dot cloud with a mouse cursor as it followed a random horizontal trajectory. Their goal was to infer the underlying target generating the dots, track it for several seconds, and then report their confidence in their tracking as better or worse than their average. In Experiment 1, we manipulated task difficulty with two methods: varying the size of the dot cloud and varying the stability of the target's velocity. In Experiment 2, the stimulus statistics were fixed and duration of the stimulus presentation was varied. We found similar levels of metacognitive sensitivity in all experiments, which was evidence against the cue-based strategy. The temporal analysis of metacognitive sensitivity revealed a recency effect, where error later in the trial had a greater influence on the sensorimotor confidence, consistent with a performance-monitoring strategy. From these results, we conclude that humans predominantly monitored their tracking performance, albeit inefficiently, to build a sense of sensorimotor confidence.

Individuals vs. BARD: Experimental Evaluation of an Online System for Structured, Collaborative Bayesian Reasoning

US intelligence analysts must weigh up relevant evidence to assess the probability of their conclusions, and express this reasoning clearly in written reports for decision-makers. Typically, they work alone with no special analytic tools, and sometimes succumb to common probabilistic and causal reasoning errors. So, the US government funded a major research program (CREATE) for four large academic teams to develop new structured, collaborative, software-based methods that might achieve better results. Our team's method (BARD) is the first to combine two key techniques: constructing causal Bayesian network models (BNs) to represent analyst knowledge, and small-group collaboration via the Delphi technique. BARD also incorporates compressed, high-quality online training allowing novices to use it, and checklist-inspired report templates with a rudimentary AI tool for generating text explanations from analysts' BNs. In two prior experiments, our team showed BARD's BN-building assists probabilistic reasoning when used by individuals, with a large effect (Glass' Δ 0.8) (Cruz et al., 2020), and even minimal Delphi-style interactions improve the BN structures individuals produce, with medium to very large effects (Glass' Δ 0.5-1.3) (Bolger et al., 2020). This experiment is the critical test of BARD as an integrated system and possible alternative to business-as-usual for intelligence analysis. Participants were asked to solve three probabilistic reasoning problems spread over 5 weeks, developed by our team to test both quantitative accuracy and susceptibility to tempting qualitative fallacies. Our 256 participants were randomly assigned to form 25 teams of 6-9 using BARD and 58 individuals using Google Suite and (if desired) the best pen-and-paper techniques. For each problem, BARD outperformed this control with very large to huge effects (Glass' Δ 1.4-2.2), greatly exceeding CREATE's initial target. We conclude that, for suitable problems, BARD already offers significant advantages over both business-as-usual and existing BN software. Our effect sizes also suggest BARD's BN-building and collaboration combined beneficially and cumulatively, although implementation differences decreased performances compared to Cruz et al. (2020), so interaction may have contributed. BARD has enormous potential for further development and testing of specific components and on more complex problems, and many potential applications beyond intelligence analysis.