a neuroeconomic approach to understanding valuation of risky prospects
DESCRIPTION
A Neuroeconomic Approach to Understanding Valuation of Risky Prospects. Neal Hinvest University of Bath U.K. What is neuroeconomics?. ECONOMICS. NEUROSCIENCE/ BEHAVIOURAL NEUROSCIENCE. PSYCHOLOGY. NEUROECONOMICS. Valuation of outcomes. Go to another talk?. - PowerPoint PPT PresentationTRANSCRIPT
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A Neuroeconomic Approach to Understanding Valuation of Risky
Prospects
Neal HinvestUniversity of Bath
U.K.
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What is neuroeconomics?
NEUROECONOMICS
ECONOMICSNEUROSCIENCE/
BEHAVIOURALNEUROSCIENCE
PSYCHOLOGY
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Valuation of outcomes• How we make the best
decisions in the face of incomplete information?
• Every outcome entails cost, therefore, all choices are economic decisions
• All outcomes are processed (at or below conscious level) to maximise potential benefit taking into account potential loss
• Valuations are occurring at every moment of our lives
• Choice behaviour is based upon these valuations
Listen to talk?
Go to another
talk?
Pub?PUB!
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Valuation and the brain• To create valuations, “cold” and “hot”
information must be integrated• The dopamine system has been identified
as having a major role in reward processing• Important role in reward-prediction learning
(Montague et al, 1996; O’Reilly et al, 1999; 2002)
• The dopamine system projects through the striatum to the frontal cortex
• Dorsal striatum = action selection and reward prediction
• Ventral striatum = stimulus-response learning (for recent review see Hikosaka et al, 2008)
• PFC = integration centre for top-down control (Miller & Cohen, 2001)
• Damage to prefrontal regions leads to dysfunction of valuation mechanisms such as perseveration of a single action over time and incapacity to maintain a goal online
• Plausible candidate for “valuation signal” is orbitofrontal cortex (Elliot et al. 2003; Knutson et al. 2001; O’Doherty et al. 2001; Bush et al., 2002)
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What will be the impact of such research?
• Identify mechanisms involved in specific aspects of human choice behaviour, and thus provide models of decision-making processes with biological validity
• Answer key questions within economics and psychology (e.g. McClure et al, 2004)
• Understand how possible alteration of the function of valuation mechanisms may underlie problematic behaviours (e.g. drug/gambling abuse)
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Our research
• Understanding neural substrates of valuation of risky prospects
• Present potential gains and potential losses
• Participants actively ascribe a personal worth to the prospect
• Functional Magnetic Resonance Imaging (fMRI)
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Results – potential reward
• Valuation of potential rewards is associated with increased activity within bilateral OFC
• Activation also measured in fronto-parieto-occipito networks
P < .001 (uncorrected)
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Results – potential loss• Valuation of potential
losses is associated with activity in medial frontal regions extending from ventral OFC through VMPFC to dorso-medial PFC
• Activity also measured in fronto-parieto-occipto networks
P < .001 (uncorrected)
P < .001 (uncorrected)
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Conclusions
• Increased evidence for OFC as having a major role in valuation
• Possible source of signal integration• Suggestion of spatiotopic role of OFC in
reward/loss processing (Elliot et al, 2000 ; Ursu et al, 2005; O’Doherty et al, 2003: medial = reward, lateral = loss)
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Evidence for altered function of OFC in psychiatric samples
• Pathological gamblers and drug abusers exhibit evidence of biased valuation mechanisms that place larger worth on addiction-related cues
• This has been associated with dysfunction within dopamine-fed systems, most importantly, the prefrontal cortex
• Presented substance abusers and
pathological gamblers with a delay discounting task
• Outcomes are presented for 3s, then participant is free to choose
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Results• Drug abusers and pathological
gamblers exhibit hyper-activation of a similar region of lateral dorsal OFC compared to controls when evaluating outcomes
• This occurred even though there were no significant differences in choice behaviour
• Represents existence of increased neural ‘effort’ to maintain behaviour at comparable levels to non-addicted groups (Padula et al, 2007)?
Pathological gamblers
Substance abusers
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Conclusions
• Increased evidence for role of OFC in valuation of risky outcomes
• Possible existence of two overlapping systems for valuation of potential rewards and potential losses
• Evidence for altered function of OFC in addiction-disordered groups (underlie biased valuations?)
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AcknowledgementsUniversity of BathAlan Lewis John Cullis
University of WarwickGemma Calvert
University of ExeterTim Hodgson
University of OxfordRob Rogers
University of ManchesterIan AndersonRebecca ElliottShane McKie