Decision Making and the Brain

Neuroscientists have been working to explain how people make decisions between competing alternatives. Indeed, the field of neuroeconomics has emerged as a small but potentially important field of study. Now, Harvard neuroscientists Camillo Padoa-Schioppa and John Assad have published findings in Nature, Neurons in the orbitofrontal cortex encode economic value.

Economic choice is the behaviour observed when individuals select one among many available options. There is no intrinsically correct answer: economic choice depends on subjective preferences…

Theories of human and animal choice have a cornerstone in the concept of value. Consider, for example, a monkey offered one raisin versus one piece of apple: behavioural evidence suggests that the animal chooses by assigning values to the two options. But where and how values are represented in the brain is unclear. Here we show that, during economic choice, neurons in the orbitofrontal cortex (OFC) encode the value of
offered and chosen goods…

Our results have broad implications for possible psychological models, suggesting that economic choice is essentially choice between goods rather than choice between actions. In this framework, neurons in the OFC seem to be a good candidate network for value assignment underlying economic choice.

The work found, for example, that monkeys who preferred grapefruit juice would select orange juice in preference to the former if there was sufficiently more orange juice offered. The researchers also showed that spatial factors (e.g., the relative position of the choices) did not affect which neurons encoded the values or on the ultimate decision.

This groundbreaking work is already drawing significant press attention, some with odd spins like, Science cracks the code of the crazy shopper and Can’t choose? Blame your brain. I guess we should be thankful that the popular press remains interested in neuroscience.

These findings will no doubt influence future work in neuroeconomics, as well as neuromarketing. How does the apparent value of a choice get assigned, and how is that value influenced by other factors? Clearly, a lengthy sales process which culminates in an unexpected purchase (e.g., a $1000 set of cookware) probably involved some kind of value manipulation during which the value of the costly items was gradually increased while that of other options (inexpensive cookware or no purchase at all) was decreased. What causes indecision, and is there a way to break out of an indecisive stalemate? I’m sure these and other questions will be eagerly pursued by neuroscientists now that they know where to look for answers.


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— who has written 986 posts on Neuromarketing.

Roger Dooley writes and speaks about marketing, and in particular the use of neuroscience and behavioral research to make advertising, marketing, and products better. He is the primary author at Neuromarketing, and founder of Dooley Direct LLC, a marketing consultancy. Follow him on Twitter.

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5 responses to "Decision Making and the Brain" — Your Turn


Andrea 26. April 2006 at 6:29 am

Though you might be interested in this (source: new scientist):

Attention Shoppers: Researchers Find Neurons That Encode The Value Of Different Goods

Researchers at Harvard Medical School (HMS) report in the April 23 issue of Nature that they have identified neurons that encode the values that subjects assign to different items. The activity of these neurons might facilitate the process of decision-making that occurs when someone chooses between different goods.


Twitter: rogerdooley
26. April 2006 at 8:04 am

Thanks, Andrea. This finding has certainly garnered lots of interest, and for good reason.


Ben.P 27. April 2006 at 11:17 am

I don’t know that much, do you know if there’s any study using imagery doing this kind of stuff in human subjects ?


Twitter: rogerdooley
27. April 2006 at 1:07 pm

Hi, Ben, here’s a Newsweek article that covers some human fMRI work in the neuroeconomics/decision making area:


Ben.P 28. April 2006 at 4:04 pm



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