Differentiable neural substrates for learned and described value and risk.

Studies of human decision making emerge from two dominant traditions: learning theorists [1-3] study choices in which options are evaluated on the basis of experience, whereas behavioral economists and financial decision theorists study choices in which the key decision variables are explicitly stated. Growing behavioral evidence suggests that valuation based on these different classes of information involves separable mechanisms [4-8], but the relevant neuronal substrates are unknown. This is important for understanding the all-too-common situation in which choices must be made between alternatives that involve one or another kind of information. We studied behavior and brain activity while subjects made decisions between risky financial options, in which the associated utilities were either learned or explicitly described. We show a characteristic effect in subjects' behavior when comparing information acquired from experience with that acquired from description, suggesting that these kinds of information are treated differently. This behavioral effect was reflected neurally, and we show differential sensitivity to learned and described value and risk in brain regions commonly associated with reward processing. Our data indicate that, during decision making under risk, both behavior and the neural encoding of key decision variables are strongly influenced by the manner in which value information is presented.

The role of human orbitofrontal cortex in value comparison for incommensurable objects.

The human orbitofrontal cortex is strongly implicated in appetitive valuation. Whether its role extends to support comparative valuation necessary to explain probabilistic choice patterns for incommensurable goods is unknown. Using a binary choice paradigm, we derived the subjective values of different bundles of goods, under conditions of both gain and loss. We demonstrate that orbitofrontal activation reflects the difference in subjective value between available options, an effect evident across valuation for both gains and losses. In contrast, activation in dorsal striatum and supplementary motor areas reflects subjects' choice probabilities. These findings indicate that orbitofrontal cortex plays a pivotal role in valuation for incommensurable goods, a critical component process in human decision making.

The price of pain and the value of suffering.

Estimating the financial value of pain informs issues as diverse as the market price of analgesics, the cost-effectiveness of clinical treatments, compensation for injury, and the response to public hazards. Such valuations are assumed to reflect a stable trade-off between relief of discomfort and money. Here, using an auction-based health-market experiment, we show that the price people pay for relief of pain is strongly determined by the local context of the market, that is, by recent intensities of pain or immediately disposable income (but not overall wealth). The absence of a stable valuation metric suggests that the dynamic behavior of health markets is not predictable from the static behavior of individuals. We conclude that the results follow the dynamics of habit-formation models of economic theory, and thus, this study provides the first scientific basis for this type of preference modeling.

Anchors, scales and the relative coding of value in the brain.

People are alarmingly susceptible to manipulations that change both their expectations and experience of the value of goods. Recent studies in behavioral economics suggest such variability reflects more than mere caprice. People commonly judge options and prices in relative terms, rather than absolutely, and display strong sensitivity to exemplar and price anchors. We propose that these findings elucidate important principles about reward processing in the brain. In particular, relative valuation may be a natural consequence of adaptive coding of neuronal firing to optimise sensitivity across large ranges of value. Furthermore, the initial apparent arbitrariness of value may reflect the brains' attempts to optimally integrate diverse sources of value-relevant information in the face of perceived uncertainty. Recent findings in neuroscience support both accounts, and implicate regions in the orbitofrontal cortex, striatum, and ventromedial prefrontal cortex in the construction of value.

The misbehavior of value and the discipline of the will.

Most reinforcement learning models of animal conditioning operate under the convenient, though fictive, assumption that Pavlovian conditioning concerns prediction learning whereas instrumental conditioning concerns action learning. However, it is only through Pavlovian responses that Pavlovian prediction learning is evident, and these responses can act against the instrumental interests of the subjects. This can be seen in both experimental and natural circumstances. In this paper we study the consequences of importing this competition into a reinforcement learning context, and demonstrate the resulting effects in an omission schedule and a maze navigation task. The misbehavior created by Pavlovian values can be quite debilitating; we discuss how it may be disciplined.

Foresight vehicle programme - Customer understanding processes in design

Customer feedback is normally fed into product design and engineering via quality surveys and therefore mainly comprises negative comments: complaints about things gone wrong. Whilst eradication of such problems will result in a feeling of satisfaction in existing customers, it will not instil the sense of delight required to attract conquest buyers. CUPID's aim is to conceive and evaluate ideas to stimulate product desirability through the provision of delightful features and execution. By definition, surprise and delight features cannot be foreseen, so we have to understand sensory appeal and, therefore, the "hidden" voice of the customer. Copyright © 2002 Society of Automotive Engineers, Inc.

Making the deployment of pico-PV more sustainable along the value chain

Pico-PV is an excellent technology for bringing electric light to rural areas in the developing world and replacing kerosene lanterns and candles. However, as pico-PV is a comparatively new technology, relatively little is known about appropriate methods for sustainable product development and deployment. For this reason current dissemination methods are often ineffective and unsustainable. This research aims to help project developers deploy pico-PV technologies successfully and in a sustainable manner. To achieve this, a conceptual framework of key sustainability criteria along the value chain was developed and tested. The analysis revealed that the most important criteria for the sustainable deployment of pico-PV systems are: (a) easy and safe operation of the product; (b) that a system for product return is established; (c) the retailer understands the target market and (d) the end-user is aware of the product's existence and its benefits. This research reveals that criteria (b) and (c) are of greatest concern. In light of these findings, the authors propose to focus on the following five factors; namely: (a) raising awareness for certification and creating market reassurance; (b) introducing support mechanisms to facilitate local repair; (c) using existing supply channels and establishing in-country (dis)assembly; (d) introducing financial support mechanisms at product supply stages and; (e) undertaking marketing campaigns. © 2013 Elsevier Ltd. All rights reserved.

The user-value of rural electrification: An analysis and adoption of existing models and theories

User-value is a determining factor for product acceptance in product design. Research on rural electrification to date, however, does not draw sufficient attention to the importance of user-value with regard to the overall success of a project. This is evident from the analysis of project reports and applicable indicators from agencies active in the sector. Learning from the design, psychology and sociology literatures, it is important that rural electrification projects incorporate the value perception of the end-user and extend their success beyond the commonly used criteria of financial value, the appropriateness of the technology, capacity building and technology uptake. Creating value for the end-user is particularly important for project acceptance and the sustainability of a scheme once it has been handed over to the local community. In this research paper, existing theories and models of value-theory are transposed and applied to community operated rural electrification schemes and a user-value framework is developed. Furthermore, the importance of value to the end-user is clarified. Current literature on product design reveals that user-value has different properties, many of which are applicable to rural electrification. Five value pillars and their sub-categories important for the users of rural electrification projects are identified, namely: functional; social significance; epistemic; emotional; and cultural values. These pillars provide the main structure for the conceptual framework developed in this research paper. It is proposed that by targeting the values of the end-user, the key factors of user-value applicable to rural electrification projects will be identified and the sustainability of the project will be better ensured. © 2014 The Authors.

The industrial emergence of commercial inkjet printing

Purpose: The purpose of this paper is to investigate how supply and demand interact during industrial emergence. Design/methodology/approach: The paper builds on previous theorising about co-evolutionary dynamics, exploring the interaction between supply and demand in a study of the industrial emergence of the commercial inkjet cluster in Cambridge, UK. Data are collected through 13 interviews with professionals working in the industry. Findings: The paper shows that as new industries emerge, asynchronies between technology supply and market demand create opportunities for entrepreneurial activity. In attempting to match innovative technologies to particular applications, entrepreneurs adapt to the system conditions and shape the environment to their own advantage. Firms that successfully operate in emerging industries demonstrate the functionality of new technologies, reducing uncertainty and increasing customer receptiveness. Research limitations/implications: The research is geographically bounded to the Cambridge commercial inkjet cluster. Further studies could consider commercial inkjet from a global perspective or test the applicability of the findings in other industries. Practical implications: Technology-based firms are often innovating during periods of industrial emergence. The insights developed in this paper help such firms recognise the emerging context in which they operate and the challenges that need to overcome. Originality/value: As an in depth study of a single industry, this research responds to calls for studies into industrial emergence, providing insights into how supply and demand interact during this phase of the industry lifecycle. © Emerald Group Publishing Limited.