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Large language models can decipher human decisions

Researchers from Dresden, Berlin, and Basel want to understand how people make their decisions.
Why do we make certain decisions and not others? A new study explores this question. @ pixabay/Tumisu
From: Wissensland
Why do we make certain decisions? A research team from Dresden, Berlin, and Basel is using large language models to uncover the reasons behind our everyday and major decisions.

Why do some people choose tea in the morning, while others choose coffee? Why does your neighbor speculate on the stock market, while you prefer to rely on the safety of a savings account? So why do we make certain decisions in our daily lives? Researchers at TU Dresden, the Max Planck Institute for Human Development, and the University of Basel have investigated these questions.

For their study, they combined behavioral experiments with mathematical models and the participants’ own explanations. They received support from large language models, or LLMs for short. These are AI systems capable of analyzing and generating language.

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The study participants played games of chance. After each decision, they explained in their own words why they had made that choice. The research team compared these explanations with established theories in decision-making research. This resulted in a long list of possible reasons. Some wanted to achieve the best outcome, while others were primarily concerned with avoiding a large loss.

This is where the language models came into play. They scanned the responses and identified which reasons were cited in each case. At the same time, the researchers used mathematical models to verify whether the decisions aligned with those reasons.

“We can deepen our understanding of human behavior, including decision-making, by asking people to explain their thought processes in more detail,” says Dr. Kamil Fuławka, first author of the study and a researcher at the Center Synergy of Systems (SynoSys) at TUD. Analyzing such data requires rigorous methods. This is precisely where LLMs can help today, the scientist explains.

Explanations Provide Important Clues

The combination of decisions, participants’ own explanations, and AI analysis showed that the participants’ statements provide valuable insights into their thought processes. Another finding of the study: People do not always make decisions according to the same pattern. The considerations that guide them depend on the situation at hand. Sometimes the prospect of the best possible outcome plays a greater role, while at other times it is the desire to avoid a potential loss.

Participants’ own explanations thus become a valuable source of information. “Many important decisions – from financial planning and medical decisions to social dilemmas, the use of technology, and public policy – involve complex trade-offs that cannot be fully understood simply by observing decisions,” explains Fuławka. He emphasizes that such explanations are particularly valuable in precisely these areas.

The study also shows how LLMs can help researchers evaluate such explanations on a large scale in the future. This opens up new avenues for more closely examining human decisions in more realistic and complex situations.


Original publication:
K. Fuławka, R. Hertwig, & D.U. Wulff, Large language models accurately identify decision reasons in verbal reports, Proc. Natl. Acad. Sci. U.S.A. 123 (27) e2526798123

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