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Predictably Irrational


Dan Ariely is James B. Duke Professor of Behavioral Economics at Duke University and a visiting professor at MIT’s Media Laboratory.

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Thursday, August 20, 2009

Are We More Rational Than Our Fellow Animals?

We usually accept without argument the notion that man is at the top of the animal hierarchy. After all, only mammals have a neocortex – the most recently evolved part of the brain and the center of higher mental functions – and ours is the most advanced variation, so it makes sense that we’d be at a higher stage of development.

But is this true? Does the neocortex always make us more rational than other animals?

Most of the time, the answer is yes. For instance, it’s thanks to our neocortex that we are able to plan for the future, something that animals have a hard time doing. (They are even worse at saving than we are!)

Still, this isn’t always the case, as the following chimpanzee experiment suggests. In “Chimpanzees are rational maximizers in an ultimatum game,” researchers Keith Jensen, Josep Call, and Michael Tomasello looked into how chimps fare at one of the classic tests of human rationality, the ultimatum game.

In the human version of this game, a “proposer” is handed some money, say $10, and must suggest a division of the sum for himself and another participant. This other person, the “responder,” can then either accept or reject the offer. If he chooses to accept the division, both participants receive their share; if he opts to reject it, neither gets compensated.

Now, if we were to go by the traditional economic model of man as a self-interested rational maximizer, we would suppose that the proposers would always suggest a division that maximized his self-interest (an $9/$1 division) and that the responders would always accept a nonzero offer ($1 may not be $9, but it’s still better than nothing).

Except, this is not what happens. Research has shown that we human beings not only consider how best to maximize our compensation, but we also factor in such notions as cooperation and fairness when we make our decisions. For example, responders in the ultimatum game will often reject a monetary division that is particularly unfair for them (such as a $8/$2 division) – even when this comes at their own cost (they lose the $2, after all). This behavior is of course wonderfully human — but it is not part of the standard rational model.

Chimpanzees, however, go about the ultimatum game (which involves divisions of raisins in their case) without giving fairness any thought. In this experiment, the researchers found that the chimp responders tended to accept any nonzero offer, however unfair. And conversely, the chimp proposers rarely suggested a fair division, choosing instead to maximize their own share.

In this case, then, animals are more rational than we are. Whereas we’re willing to lose a couple bucks so that the other guy gets punished for his inequitable offer, chimps only act according to what will guarantee them the most raisons.

This curious turning-of-tables suggests that we might want to think differently about the neocortex. Overall, we’re better off having it, as without our sense of right and wrong, we would lack empathy and the ability to reinforce societal rules. Yet, in certain contexts, the neocortex can cause us not to maximize our self-interest. Evolution, then, is a mixed blessing: it makes us better some things, and worse at others.

Comments

  • Is the result really rational for a social animal.
    Humans train each other in encounters like this to maximize the benefit for both over time.
    Rate this comment: 12345

    technoglyf
    08/21/2009
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  • Rationality includes the future
    I was surprised at the conclusion - perhaps it depends on how a standard rational model is defined. To me human rationality has incorporated the future - with the responders attempting to influence the behaviour of the proposers for precisely self-interest maximization. We allude to this behaviour, of course, with notions of fairness and cooperation, but it is just rationality exercised to a far higher level than chimps'.
    Rate this comment: 12345

    hengph
    08/21/2009
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  • Game Theory and Rationality
    I would think that under Raifa fairness, given that the person with the money has no security level, it is quite rational for the recipient to demand a 50/50 arrangement.
    Rate this comment: 12345

    pasward
    08/21/2009
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  • But chimpanzees (Pan Troglodytes)
    most certainly possess a neo-cortex ; indeed the article states that mammals do, and this species is certainly a member of the class Mammalia. So the question here is not whether one has a neo-cortex or no, but rather how one's neo-cortex is wired. Surprise, surprise !...

    Henri
    Rate this comment: 12345

    mhenriday
    08/22/2009
    Posts:6
    Avg Rating:
    3/5
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