How do we make life’s biggest decisions?
Changing careers, ending a relationship, having a child, moving to another country. Such transformative choices alter the trajectory of people’s lives. A team of researchers at the Max Planck Institute (MPI) for Human Development in Germany investigated these types of decisions. They introduced a novel framework for examining and understanding life-altering choices. The proposed framework focuses on the complexity and emotional consequences of transformative life decisions. The findings were published in the journal ‘American Psychologist’.
Does the traditional way of thinking about decisions work?
The researchers analysed various textual data, mainly personal stories, online discussions, books and news articles. They identified five key dimensions that shape transformative decisions. These are conflicting cues (competing values normally make transformative choices difficult), change of self (transformative choices can reshape identity and values), uncertain experiential value (outcomes of transformative choices are usually unpredictable), irreversibility (many decisions are difficult or impossible to reverse), and risk (choices may result in major emotional, financial or social risks). In addition, straightforward choice strategies were presented to address these dimensions. For example, one strategy is to separate a decision into steps.
Navigating transformative decisions
The study stressed that conventional literature on decision-making usually depends on simplistic scenarios that don’t account for the intricacies of real-life transformative decisions. “Understanding life’s biggest decisions requires going beyond the oversimplified models often used in the behavioral sciences,” commented first author Shahar Hechtlinger in a press release. She argued for studying these choices in their real settings in order to take into consideration cultural and emotional aspects that are often ignored. “In research on judgment and decision-making, we often rely on highly simplified, stylized tasks. However, these controlled scenarios are in stark contrast to the consequential decisions that people face in real life across cultures and contexts.” The authors also indicated that we often rely on simpler strategies for ourselves. In contrast, we suggest to others to use more complex ones. The framework also contributes to the study of ecological rationality – the idea that decision-making is often adjusted to the environment in which it occurs. “Ecological rationality emphasizes the importance of a fit between decision strategies, environments, and individuals,” explained co-author Ralph Hertwig, director of MPI’s Center for Adaptive Rationality. “Our work extends this theory by integrating subjective dimensions, such as changes in personal identity and values, into the decision-making process.” Undoubtedly, making the most important choices of our lives will change who we are and want to be. But we should also welcome the uncertainty that comes with it. Nobody can predict the future, and today’s wants and needs can shift over time.
Keywords
decision, choice, decision-making, transformative decision, transformative choice, ecological rationality