Introductory description

This module outlines the key principles and phenomena underlying human judgement and decision making.

Module web page

Module aims

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

[1] The nature of rationality.
[2] Theoretical perspective on human judgement.
[3] The psychology of value and utility.
[4] Decision making under certainty.
[5] Decision making under risk.
[6] Decisions and time: Should we discount the future?
[7] Judgement.
[8] Confidence and expertise.
[9] Decision making in markets, groups and society.

Learning outcomes

By the end of the module, students should be able to:

• Demonstrate comprehensive understanding of the research methods and results of research on human judgement and decision making
• Demonstrate comprehensive understanding of the field of judgement and decision making and its relevance to finance
• Critically reflect on the scope and limits of human rationality
• Demonstrate logic and justification within skills of argument construction

Indicative reading list

Reading lists can be found in Talis

Research element

Demonstrate comprehensive understanding of the research methods and results of research on human judgement and decision making

Interdisciplinary

This module draws on research primarily from cognitive psychology and behavioural economics.

Subject specific skills

Evaluate experimental research and data, assessing the external validity of lab results
Apply a range of theoretical perspectives on human decision making
Identify key judgement and decision making biases

Transferable skills

Demonstrate confidence in discussing both orally and in writing theoretical and empirical issues of practical relevance (integrating theory and practice)