Unlocking the Key to Making Better Choices: Expected Gain vs. Value
The article explains why people don't always choose the option with the highest expected utility. It shows that the difference between expected gain and expected value affects decision-making. The study uses math to analyze how people evaluate options based on potential gains or losses. The findings suggest that an option's expected gain must be above a certain threshold to be chosen. It also explains why people might not choose between two equally good options when presented together, but would choose either one when presented alone. The study's model helps understand how people make decisions based on perceived gains and losses.