2025/02/01 by Pedro Bordalo, Nicola Gennaioli, Giacomo Lanzani +1 · 1 voice
Decision Sciences · #Decision-Making and Behavioral Economics
paper · doi:10.1093/qje/qjag023
openalex publication_date 2025/02/01 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/15
Abstract We present a theory of choice in which attention to the features of options is determined by the decision maker’s categorization of the current problem in a set of problems she solved in the past. Categorization depends on goal-relevant and contextual problem-level features. The model yields heterogeneity in attention and choice in a given problem based on different past experiences and instability when changes in irrelevant context cause recategorization. We show that heterogeneous and unstable representations of a choice problem unify major biases in judgment and decision making.