ORG419 Judgement and Decision Making

The course is connected to the following study programs

• Master’s Programme in International Business
• Master's Programme in Shift Entrepreneurship and Business
• Master's Programme in Business Administration
• Master's Programme in Business Administration (5 years)

Teaching language

English

Recommended prerequisites

Introduction to Microeconomics or equivalent

Course contents

The objective of the course is to foster habits of thought and provide tools which will lead to better decision making and behavioural change. This is achieved by learning how to identify and avoid some common types of judgmental errors and to recognize and predict these errors. Using theories from different scientific fields (judgment and decision making, behavioural economics, and psychology) the questions that will be dealt with in the course are: 1) how should we make decisions, 2) how do we make decisions, and 3) what can we do to improve our own and other people’s decision making? Amongst the many topics considered will be: probability judgments, heuristics and biases, utility measurement, choice under certainty, choice under uncertainty, judgments about the future, fairness, social dilemmas, moral judgments, motivational and affective influences on decisions, choice architecture, behavioural change, nudging, sludging, and libertarian paternalism.

Learning outcomes

On successful completion of this course the student should be able to:

• demonstrate understanding of important normative, descriptive, and prescriptive models of judgment and decision making.

• analyse normative, descriptive, and prescriptive models of judgment and inference, with reference to their use in practice.

• identify and analyse processes of judgment, inference and choice within specific contexts and discuss the factors affecting the decision making.

• recognize irrationality in oneself and others and propose ways of improving judgments and inferences.

• understand how human behaviour is affected by design/choice architecture.

• analyse and discuss ethical and moral aspects of decision making and interventions designed to change people’s behaviour.

• design a plan for use of choice architecture that may contribute towards achieving the UN’s Sustainable Development Goals.

Examination requirements

Approved compulsory assignments and presentations. More information in Canvas at the start of the semester.

Teaching methods

Lectures, class discussions, compulsory student assignments and presentations. Estimated workload is about 200 hours.

Evaluation

The person responsible for the course, in consultation with the student representative, decides the method of evaluation and whether the courses will have a midterm- or end of term evaluation, see also the Quality System, section 4.1. Information about evaluation method for the course will be posted on Canvas.

Admission for external candidates

No

Assessment methods and criteria

4-hour written examination with letter grades.