Social rationality
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behavioural sciences Behavioral sciences explore the cognitive processes within organisms and the behavioral interactions between organisms in the natural world. It involves the systematic analysis and investigation of human and animal behavior through naturalistic ...
, social rationality is a type of decision strategy used in social contexts, in which a set of simple rules is applied in complex and uncertain situations.


Definition

Social rationality is a form of bounded rationality applied to social contexts, where individuals make choices and predictions under uncertainty.Hertwig, Hoffrage, & the ABC Research Group, 2012 While game theory deals with well-defined situations, social rationality explicitly deals with situations in which not all alternatives, consequences, and event probabilities can be foreseen. The idea is that, similar to non-social environments, individuals rely, and should rely, on ''fast and frugal heuristics'' in order to deal with complex and genuinely uncertain social environments. This emphasis on simple rules in an uncertain world contrasts with the view that the complexity of social situations requires highly sophisticated mental strategies, as has been assumed in primate researchHumphrey, 1988 and neuroscience,Seymour & Dolan, 2008 among others.


A descriptive and normative program

Social rationality is both a descriptive program and a normative program. The ''descriptive'' program studies the repertoire of heuristics an individual or organization uses, that is, their ''adaptive toolbox''. The ''normative'' program studies the environmental conditions to which a heuristic is adapted, that is, where it performs better than other decision strategies. This approach is called the study of the ecological rationality of social heuristics. It assumes that social heuristics are ''domain- and problem-specific''.Hertwig & Herzog, 2009Gigerenzer, Todd, & the ABC Research Group, 1999


Applications

Heuristics can be applied to social and non-social decision tasks (also called social games and games against nature), judgments, or categorizations. They can use social or non-social input. Social rationality is thus about three of the four possible combinations, excluding the case of heuristics using non-social input for non-social tasks. 'Games against nature' comprise situations where individuals face environmental uncertainty, and need to predict or outwit nature, e.g., harvest food or master hard-to-predict or unpredictable hazards.Hertwig & Hoffrage, 2012 'Social games' include situations, where the decision outcome depends on the choices of others, e.g., in cooperation, competition, mate search and even in morally significant situations.Gigerenzer, 2010 Social rationality has been studied in a number of other fields than human decision-making, e.g. in evolutionary social learning,Morgan, Rendell, Ehn, Hoppitt, & Laland 2012 and social learning in animals.Rieucau & Giraldeau, 2011


Examples


Imitate-the-majority heuristic

An example for a heuristic that is not necessarily social but that requires social input is the ''imitate-the-majority heuristic'', where in a situation of uncertainty, individuals follow the actions or choices of the majority of their peers regardless of their social status. The domain of pro-environmental behavior provides numerous illustrations for this strategy, such as
litter Litter consists of waste products that have been discarded incorrectly, without consent, at an unsuitable location. Litter can also be used as a verb; to litter means to drop and leave objects, often man-made, such as aluminum cans, paper cups ...
ing behavior in public places,Cialdini, Reno, & Kallgren 1991 the reuse of towels in hotel rooms,Goldstein, Cialdini, & Griskevicius 2008 ull citation needed/ref> and changes in private energy consumption in response to information about the consumption of the majority of neighbors.Schultz, Nolan, Cialdini, Goldstein, & Griskevicius 2007


1/N (Equality heuristic)

Following the '' equality heuristic'' (sometimes called ''1/N rule'') people divide and invest their resources equally in a number of N different options. These options can be both social (e.g., time spent with children) and nonsocial entities (e.g., financial investments or natural resources). For example, many parents invest their limited resources, such as affection, time, and money (e.g., for education) equally into their offspring.Hertwig et al., 2002 ull citation needed/ref> In highly uncertain environments with large numbers of assets and only few possibilities to learn, the equality heuristic can outperform optimizing strategies and yield better performance on various measures of success than optimal asset allocation strategies.DeMiguel, Garlappi, and Uppal (2009)


Social heuristics

Adapted from Hertwig & Herzog, 2009. * Imitate-the-majority heuristic *
Social circle In the social sciences, a social group can be defined as two or more people who interact with one another, share similar characteristics, and collectively have a sense of unity. Regardless, social groups come in a myriad of sizes and varieties ...
heuristic * Averaging heuristic *
Tit-for-tat Tit for tat is an English saying meaning "equivalent retaliation". It developed from "tip for tap", first recorded in 1558. It is also a highly effective strategy in game theory. An agent using this strategy will first cooperate, then subseque ...
* Generous tit-for-tat (or tit-for-two-tat) * Status tree * Regret matching heuristic * Mirror heuristic * 1/N (Equality heuristic) * Group recognition heuristic * White coat heuristic/ Trust your doctor heuristic * Imitate-the-successful heuristic * Plurality vote-based lexicographic heuristic


See also

* Social heuristics * Ecological rationality *
Optimization Mathematical optimization (alternatively spelled ''optimisation'') or mathematical programming is the selection of a best element, with regard to some criterion, from some set of available alternatives. It is generally divided into two subfi ...
*
Risk In simple terms, risk is the possibility of something bad happening. Risk involves uncertainty about the effects/implications of an activity with respect to something that humans value (such as health, well-being, wealth, property or the environm ...
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Uncertainty Uncertainty refers to epistemic situations involving imperfect or unknown information. It applies to predictions of future events, to physical measurements that are already made, or to the unknown. Uncertainty arises in partially observable ...
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Max Planck Institute for Human Development The Max-Planck-Institute for Human Development (Max-Planck-Institut für Bildungsforschung) is an internationally renowned social science research organization. Located in Berlin, it was initiated in 1961 and officially began operations in 1963 ...


Notes


References

*Cialdini, R. B., Reno, R. R., & Kallgren, C. A. (1990). A focus theory of normative conduct: Recycling the concept of norms to reduce littering in public places. ''Journal of Personality and Social Psychology'', 58(6), 1015–1026. *DeMiguel, V., Garlappi, L., & Uppal, R. (2009). Optimal versus naive diversification: How inefficient ist the 1/N portfolio strategy? ''The Review of Financial Studies'', 22(5), 1915-1953. *Gigerenzer, G. (2010). Moral satisficing: Rethinking moral behavior as bounded rationality. ''Topics in Cognitive Science'', 2(3), 528–554. doi:10.1111/j.1756-8765.2010.01094.x *Gigerenzer, G., Todd, P., & the ABC Research Group (1999). ''Simple heuristics that make us smart''. New York: Oxford University Press. *Hertwig, R., & Herzog, S. M. (2009). Fast and frugal heuristics: tools of social rationality. ''Social Cognition'', 27(5), 661–698. Retrieved from http://guilfordjournals.com/doi/abs/10.1521/soco.2009.27.5.661 *Hertwig, R. Hoffrage, U. & the ABC Research Group (2012). ''Simple heuristics in a social world''. New York: Oxford University Press. * * {{cite journal , last1=Morgan , first1=T. J. H. , last2=Rendell , first2=L. E. , last3=Ehn , first3=M. , last4=Hoppitt , first4=W. , last5=Laland , first5=K. N. , title=The evolutionary basis of human social learning , journal=Proceedings of the Royal Society B: Biological Sciences , publisher=The Royal Society , volume=279 , issue=1729 , date=2011-07-27 , issn=0962-8452 , doi=10.1098/rspb.2011.1172 , pages=653–662 , pmid=21795267, pmc= 3248730 *Rieucau, G., & Giraldeau, L.-A. (2011). Exploring the costs and benefits of social information use: An appraisal of current experimental evidence. ''Philosophical Transactions of the Royal Society B'', 366(1567), 949–957. doi:10.1098/rstb.2010.0325 *Seymour, B., & Dolan, R. (2008). Emotion, decision making, and the amygdala. ''Neuron'', 58, 662–671. *Schultz, P. W., Nolan, J. M., Cialdini, R. B., Goldstein, N. J., & Griskevicius, V. (2007). The constructive, destructive, and reconstructive power of social norms. ''Psychological Science'', 18(5), 429–434. *Simon, Herbert A. (1956). Rational choice and the structure of the environment. ''Psychological Review'', 63(2), 129–138. Behavioral economics Game theory Rational choice theory