Cognition and Perception Commons^™

Using Noninvasive Brain Measurement To Explore The Psychological Effects Of Computer Malfunctions On Users During Human-Computer Interactions, Leanne M. Hirshfield, Philip Bobko, Alex Barelka, Stuart H. Hirshfield, Mathew T. Farrington, Spencer Gulbronson, Diane Paverman

Management Faculty Publications

In today’s technologically driven world, there is a need to better understand the ways that common computer malfunctions affect computer users. These malfunctions may have measurable influences on computer user’s cognitive, emotional, and behavioral responses. An experiment was conducted where participants conducted a series of web search tasks while wearing functional nearinfrared spectroscopy (fNIRS) and galvanic skin response sensors. Two computer malfunctions were introduced during the sessions which had the potential to influence correlates of user trust and suspicion. Surveys were given after each session to measure user’s perceived emotional state, cognitive load, and perceived trust. Results suggest that fNIRS …

Why Do Retail Investors Make Costly Mistakes? An Experiment On Mutual Fund Choice, Jill E. Fisch, Tess Wilkinson-Ryan

All Faculty Scholarship

There is mounting evidence that retail investors make predictable, costly investment mistakes, including underinvestment, naïve diversification, and payment of excessive fund fees. Over the past thirty-five years, however, participant-directed 401(k) plans have largely replaced professionally managed pension plans, requiring unsophisticated retail investors to navigate the financial markets themselves. Policy-makers have struggled with regulatory interventions designed to improve the quality of investment decisions without a clear understanding of the reasons for investor mistakes. Absent such an understanding, it is difficult to design effective regulatory responses.

This article offers a first step in understanding the investor decision-making process. We use an internet-based …