PRESS-NEWS.org - Press Release Distribution
PRESS RELEASES DISTRIBUTION

A majority prefers letting computers decide

University of Bonn: We tend to avoid human relationships in risky private business transactions

A majority prefers letting computers decide
2014-03-19
(Press-News.org) When individuals engage in risky business transactions with each other, they may end up being disappointed. This is why they'd rather leave the decision on how to divvy up jointly-owned monies to a computer than to their business partner. This subconscious strategy seems to help them avoid the negative emotions associated with any breaches of trust. This is the result of a study by scientists from the University of Bonn and US peers. They are presenting their findings in the scientific journal "Proceedings of the Royal Society B."

Trust is an essential basis for business relationships. However, this basis can be shaken if one business partner exhibits dishonest behavior. "Everyone knows that trust can be shattered in risky businesses," explained Prof. Dr. Bernd Weber from the Center for Economics and Neuroscience (CENs) at the University of Bonn. "As a result, people are not all that eager to put their trust in others." Scientists call this attitude "betrayal aversion" – people try to avoid being disappointed by potential breaches of trust.

In a current study, Prof. Weber and his US colleagues, Prof. Dr. Jason A. Aimone from Baylor University and Prof. Dr. Daniel Houser from George Mason University examined in experiments the effects betrayal aversion has on simple financial decisions. A total of 30 subjects played a computer game at George Mason University in Arlington, VA (USA) that promised real monies to the winners. At the Life & Brain Zentrum of the University of Bonn, the same number of subjects then made their decisions based on the results of the earlier experiment. And while the Bonn subjects were responding to their gaming partners' decisions made earlier in Arlington, their brain activity was measured by means of MRI scans.

Sharing fairly or making a profit at the other person's expense?

In this experiment, the test subjects in Bonn were able to select whether they and their US partners would get one euro each only, or whether they wanted to have a higher amount – i.e., 6 euros – divided up. However, the latter variant came with a risk. So, for example, the other player might get as much as 5.60 euros while the Bonn player would be left with only 40 Cents. The actual dividing of the amount, which came in a second step, could be left either to one's partner or to the computer. However, the computer gave out exactly the same decisions as the real test subjects. "So, from the point of view of winnings, there was no difference whether the other player or the machine divided the amount," explained Prof. Weber. "And the subjects had explicitly been told so from the very start."

Even though the winnings were exactly the same in the end, more subjects put their trust into the computer. When the money was divided by the computer, 63 percent of subjects trusted the process and only 37 percent preferred taking just the one euro. But if the arrangement was that the human partners would make the decision, only 49 percent of test subjects trusted them – 51 percent would rather take the more secure, small amount. "These results show that more subjects prefer to leave risky decisions in which they may be betrayed to an impersonal device, thus avoiding the negative feeling that comes from having wrongly trusted a human," said Prof. Weber, adding that obviously a breach of trust committed by an impersonal computer was less emotionally stressful than if had been a private business partner.

The brain's frontal insula was especially active

The University of Bonn's subjects also showed interesting brain activities as measured in MRI scans. In the process of making financial decisions, the frontal insula was especially active when it was another player who made the decision on how to divide the amount. "This area of the brain is always involved when negative emotions such as pain, disappointment or fear are activated," explained Prof. Weber. He added that the fact that the frontal insula was activated is a clear indication that negative emotions played an important role in these situations.

Financial decisions are very complex. "This is a very contrary phenomenon. Many studies show that the anonymity of business partners on the Internet results in a loss of trust," said Prof. Weber. "But our results indicate that this anonymity can also help avoid negative feelings." He added that these decision processes in financial transactions would yet have to be studied in more detail.

INFORMATION: Publication: Neural Signatures of Betrayal Aversion: An fMRI Study of Trust, Proceedings of the Royal Society B, DOI: 10.1098/rspb.2013.2127

Contact:

Prof. Dr. Bernd Weber
Center for Economics and Neuroscience
and Life & Brain Zentrum
at the University of Bonn
Ph. +49 228-6885262
Email: bernd.weber@ukb.uni-bonn.de

[Attachments] See images for this press release:
A majority prefers letting computers decide

ELSE PRESS RELEASES FROM THIS DATE:

Planting cotton early may mean less stink bug damage

Planting cotton early may mean less stink bug damage
2014-03-19
Stink bugs have been consistently ranked among the most damaging insect pests of cotton in the southeastern United States for the past several years. Apart from the feeding damage, stink bugs are capable of transmitting cotton seed and boll-rotting bacteria such as Pantoea agglomerans. In order to find out whether cultural practices could be used to manage stink bugs -- such as adjusting the date of planting to mitigate peak pest pressure -- researchers from the University of Georgia compared cotton plots that were planted in May to other plots that were planted in June. The ...

Launching a botanical journal on the verge of WWI: the politics of the AJB

Launching a botanical journal on the verge of WWI: the politics of the AJB
2014-03-19
One hundred years ago on the brink of WWI, American botanists changed the course of plant science with the founding of a national publication, the American Journal of Botany. The journal not only endured through the Great War, it also continued to evolve through the wars that followed, the Great Depression, and the ever-changing arena of plant research. Today, the AJB remains at the forefront of essential botanical research as the flagship journal of the Botanical Society of America. In celebration of its centennial anniversary, science historian Betty Smocovitis takes ...

Football displays fractal dynamics

2014-03-19
Football fascinates millions of fans, almost all of them unaware that the game is subject to the laws of physics. Despite their seemingly arbitrary decisions, players obey certain rules, as they constantly adjust their positions in relation to their teammates, opponents, the ball and the goal. A team of Japanese scientists has now analysed the time-dependent fluctuation of both the ball and all players' positions throughout an entire match. They discovered that a simple rule governs the complex dynamics of the ball and the team's front-line. These findings, published in ...

Rice grad student deciphers 1,800-year-old letter from Egyptian soldier

2014-03-19
A newly deciphered 1,800-year-old letter from an Egyptian solider serving in a Roman legion in Europe to his family back home shows striking similarities to what some soldiers may be feeling here and now. Rice Religious Studies graduate student Grant Adamson took up the task in 2011 when he was assigned the papyrus to work on during a summer institute hosted at Brigham Young University (BYU). The private letter sent home by Roman military recruit Aurelius Polion was originally discovered in 1899 by the expedition team of Grenfell and Hunt in the ancient Egyptian city ...

Physical activity and occasional drinking found to be associated with decrease in vision impairment

2014-03-19
A physically active lifestyle and occasional drinking is associated with a reduced risk of developing visual impairment, according to a study published online this month in Ophthalmology, the journal of the American Academy of Ophthalmology. Visual impairment – sight loss often caused by eye disease, trauma, or a congenital or degenerative condition that cannot be corrected with glasses or contact lenses – is associated with a poorer quality of life and, when severe, loss of independence. In 2020, the number of people in the United States with visual impairment is projected ...

Overdiagnosing cancer may lead to unnecessary, dangerous procedures

2014-03-19
Overdiagnosing cancer may lead to unnecessary, dangerous procedures Article provided by Miracle Pruzan & Pruzan Visit us at http://www.miraclelaw.com When you go to the doctor, the last thing you want to hear is that your physician has found a lump. The threat of cancer is unnerving and generally leaves the patient hoping to eradicate the problem as quickly as possible. Nevertheless, a new study has revealed that aggressive treatment may not always be the optimal solution for those diagnosed with cancer. According to a recent study -- published in the journal ...

Collaborative divorce touted as cheaper alternative to standard divorce

2014-03-19
Collaborative divorce touted as cheaper alternative to standard divorce Article provided by Law Office of Lori Watson Visit us at http://www.olivarezlaw.com/ The collaborative divorce option has gained popularity in Texas and across the United States in recent years, partly because of the claim that it costs less than a conventional divorce. While there is a lack of data to prove that assertion, lawyers and others familiar with the process agree that collaborative divorces normally result in financial savings. Texas billionaire oilman T. Boone Pickens agrees ...

Utah adoption matter highlights the differences among state laws

2014-03-19
Utah adoption matter highlights the differences among state laws Article provided by Brown Law LLC Visit us at http://www.utdivorceattorney.com This legislative session, there are a number of bills before the Utah Legislature, which could potentially amend the state's adoption statute to address issues raised in several different types of matters. For example, one bill would provide an unwed father more time to respond after he is given notice that an adoption concerning his child is pending in the state. In general, most of the proposed laws get to the issue ...

Recovering economy leading to rising divorce rate in US

2014-03-19
Recovering economy leading to rising divorce rate in US Article provided by Law Offices of Victoria S. Linder Visit us at http://www.sacramentoattorneys.net According to recent research, the burgeoning economy may have more positive effects than those clearly visible to most Americans. Many people are likely appreciating increased job security and potentially even higher raises than they were accustomed to during the recession. These financial benefits are affecting people in their personal lives, as well, based on data from the U.S. Census Bureau. As people ...

New report shows 9 people killed by distracted drivers daily in US

2014-03-19
New report shows 9 people killed by distracted drivers daily in US Article provided by Wills & Adams, LLP Visit us at http://www.willsadams.com For many Colorado drivers, multitasking while behind the wheel is likely a common occurrence. Motorists may answer a call while on the way to work or attempt to respond to a text message while out running errands. These widespread habits are risky, however, and can lead to serious auto collisions. Recent statistics released by the Centers for Disease Control and Prevention may now give Colorado motorists pause before ...

LAST 30 PRESS RELEASES:

How NIL boosts college football’s competitive balance

Moffitt researchers develop machine learning model to predict urgent care visits for lung cancer patients

Construction secrets of honeybees: Study reveals how bees build hives in tricky spots

Wheat disease losses total $2.9 billion across the United States and Canada between 2018 and 2021

New funding fuels development of first potentially regenerative treatment for multiple sclerosis

NJIT student–faculty team wins best presentation award for ant swarm simulation

Ants defend plants from herbivores but can hinder pollination

When the wireless data runs dry

Inquiry into the history of science shows an early “inherence” bias

Picky eaters endure: Ecologists use DNA to explore diet breadth of wild herbivores

Study suggests most Americans would be healthier without daylight saving time

Increasing the level of the protein PI31 demonstrates neuroprotective effects in mice

Multi-energy X-ray curved surface imaging-with multi-layer in-situ grown scintillators

Metasurface enables compact and high-sensitivity atomic magnetometer

PFAS presence confirmed in the blood of children in Gipuzkoa

Why do people believe lies?

SwRI installs private 5G network for research, development, testing and evaluation

A new perspective in bone metabolism: Targeting the lysosome–iron–mitochondria axis for osteoclast regulation

Few military spouses use formal support services during, after deployment

Breakthrough in the hunt for light dark matter: QROCODILE project reveals world-leading constraints

2D x-ray imaging technique reveals hidden processes in CO2 electrolyzers

Rational high entropy doping strategy via modular in-situ/post solvothermal doping integration for microwave absorption

Circular Economy has been officially included in the ESCI

Recent advances in exciton-polariton in perovskite

Efficacy and safety of GLP-1 RAs in children and adolescents with obesity or type 2 diabetes

Over-the-counter sales of overdose reversal drug naloxone decline after initial surge

Global trends and disparities in social isolation

Country of birth, race, ethnicity, and prenatal depression

Kissick Family Foundation, Milken Institute announce $2 million in funding for frontotemporal dementia research and new call for proposals

Mayo Clinic study reveals hidden causes of heart attacks in younger adults, especially women

[Press-News.org] A majority prefers letting computers decide
University of Bonn: We tend to avoid human relationships in risky private business transactions