Are Decision Makers Rational in Ambiguous Situations?

This research work analyzes human behavior in complex situations and explains how decisions makers act in ambiguous situations. The objective of this research work is to study the sunk cost effect and the completion percentage effect of an investment project in a decision-making process. This research work uses a “retrospective rationality” approach to justify irrational behaviors such as the sunk cost effect, the completion percentage effect of an investment project and the irrational escalation since decision-makers are repeatedly affected by the decisions on past irreversible investments. This research work evaluates three sunk cost levels, and three completion percentage levels of an investment project, besides three neutral situations in a business environment and a personal decision situation. Graduate students in three Portuguese Management Schools responded to the questionnaires. Model results show that the value of resources invested is crucial for understanding the students’ rational behavior, who participated in this research work. These results disclose statistical evidence that the information on sunk costs and completion percentage of an investment project determines human behavior under irrational escalation in ambiguous situations. As a consequence, decision makers have the opportunity to interpret their decisions, since the scenarios do not allow a unique definition of rational choice, it is not correct to judge the irrational decision makers that decide to continue to invest in ambiguous situations. Keywords: Human Behavior, Sunk costs Effect, Completion Percentage Effect of an Investment Project, Irrational Escalation, Ambiguous Situations.

Tornar-se pai/mãe de uma criança com transtornos graves do desenvolvimento

The interest in research on parents of children with severe developmental disorders has known different focuses of interest over time, from a more psychopathological approach, interested in describing the negative aspects of the impact of having a child with disabilities, to the study of coping strategies used to deal with the situation, and the study of the strength and resilience mobilized by these parents. The big change, however, is that the concern about parents is not only because of the child, but also for what happens in their own development processes. This developmental perspective is addressed here to the construction of the fundamental attachment between mother/father and the baby, how this bond is broken, and how it can be reconstructed when the child has a severe disability diagnosis. Only the resumption of parents’ developmental process will enable them to perform their parenting in an emotionally appropriate and consistent manner, based on adequate responsiveness in everyday life situations. This view allows to open new interdisciplinary challenges about how to work on early intervention in child development and to a comprehensive understanding of the family centered intervention.