Vision and Flexibility in a Model of Cognitive Dissonance

ISER Discussion Paper No. 771

31 Pages Posted: 11 Feb 2010

See all articles by Junichiro Ishida

Junichiro Ishida

Osaka University - Institute of Social and Economic Research

Date Written: February 10, 2010

Abstract

This paper explores the consequences of cognitive dissonance, coupled with time-inconsistent preferences, in an intertemporal decision problem with two distinct goals: acting decisively on early information (vision) and adjusting flexibly to late information (flexibility). The decision maker considered here is capable of manipulating information to serve her self-interests, but a tradeoff between distorted beliefs and distorted actions constrains the extent of information manipulation. Building on this tradeoff, the present model provides a unified framework to account for the conformity bias (excessive reliance on precedents) and the confirmatory bias (excessive attachment to initial perceptions).

Keywords: Cognitive dissonance, Vision, Flexibility, Conformity bias, Confirmatory bias

JEL Classification: D03, D99

Suggested Citation

Ishida, Junichiro, Vision and Flexibility in a Model of Cognitive Dissonance (February 10, 2010). ISER Discussion Paper No. 771, Available at SSRN: https://ssrn.com/abstract=1550568 or http://dx.doi.org/10.2139/ssrn.1550568

Junichiro Ishida (Contact Author)

Osaka University - Institute of Social and Economic Research ( email )

6-1 Mihogaoka
Ibaraki, Osaka 567-0047
Japan

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
95
Abstract Views
656
rank
317,791
PlumX Metrics