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Are Algorithms as Risk-Averse as We Are? - Risk-Taking under Accountability for Oneself and Others

  • Co-Author:Prof. Jason Dana (Yale University)
  • Keywords: Experiment, Lottery Choice, Risk Aversion, Responsibility, Accountability
  • Download: Paper (working version)

Project Details

To create an algorithm or an AI, it is necessary to define features and select data. As a result, programming entails making decisions on behalf of other individuals. In this project we explore whether people's decision-making differs when they are responsible for their choices compared to when they make decisions on behalf of others. Our results indicate that when participants are held accountable to the public, they tend to display greater caution when making decisions for others than when deciding for themselves. However, this distinction is only statistically significant when only a positive outcome is achievable.