How do people learn to allocate resources? Comparing two learning theories.
How do people learn to allocate resources? To answer this question, 2 major learning models are compared, each incorporating different learning principles. One is a global search model, which assumes that allocations are made probabilistically on the basis of expectations formed through the entire history of past decisions. The 2nd is a local adaptation model, which assumes that allocations are made by comparing the present decision with the most successful decision up to that point, ignoring all other past decisions. In 2 studies, participants repeatedly allocated a capital resource to 3 financial assets. Substantial learning effects occurred, although the optimal allocation was often not found. From the calibrated models of Study 1, a priori predictions were derived and tested in Study 2. This generalization test shows that the local adaptation model provides a better account of learning in resource allocations than the global search model.
Rieskamp
Jörg
J
Department of Psychology, Indiana University Bloomington, Bloomington, IN, USA. neskamp@ mpib-berlin.mpg.de
Busemeyer
Jerome R
JR
Laine
Tei
T
D000328:Adult; D001288:Attention; D003657:Decision Making; D005246:Feedback; D005260:Female; D005793:Generalization, Psychological; D006801:Humans; D007449:Investments; D007858:Learning; D008297:Male; D008960:Models, Psychological; D015233:Models, Statistical; D009042:Motivation; D011340:Problem Solving; D011582:Psychological Theory; D012718:Set, Psychology