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The Lab for Social Decision-Making & Risk

Prof. Yoella Bereby-Meyer

Algorithms in selection decisions

Effective, but unappreciated

Hagai Rabinovitch, David V. Budescu, Yoella Bereby Meyer

Selection decisions are often affected by irrelevant variables such as gender or race. People can discount this irrelevant information by adjusting their predictions accordingly, yet they fail to do so intuitively. In five online studies (N = 1077), participants were asked to make selection decisions in which the selection test was affected by irrelevant attributes. We examined whether in such decisions people are willing to be advised by algorithms, human advisors or prefer to decide without advice. We found that people fail to adjust for irrelevant information by themselves, and those who received advice from an algorithm or human advisor made better decisions. Interestingly, although most participants stated they prefer advice from human advisors, they tend to rely equally on algorithms in actual selection tasks. The sole exception is when they are forced to choose between an algorithm and a human advisor. In that case, they pick human advisors. We conclude that while algorithms may not be people's preferred source of advice in selection decisions, they are equally useful and can be implemented.

Publication language English
Volume 37
Issue number 2
Publication status Published - 01.04.2024

Keywords

advice taking
algorithm appreciation
algorithm aversion
intuitive judgment
suppressor variables

ASJC Scopus subject areas

General Decision Sciences
Arts and Humanities (miscellaneous)
Applied Psychology
Sociology and Political Science
Strategy and Management
Access to Document
10.1002/bdm.2368
Other files and links
Link to publication in Scopus