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Speed, Quality, and the Optimal Timing of Complex Decisions: Field Evidence

Author

Listed:
  • Uwe Sunde
  • Dainis Zegners
  • Anthony Strittmatter
Abstract
This paper presents an empirical investigation of the relation between decision speed and decision quality for a real-world setting of cognitively-demanding decisions in which the timing of decisions is endogenous: professional chess. Move-by-move data provide exceptionally detailed and precise information about decision times and decision quality, based on a comparison of actual decisions to a computational benchmark of best moves constructed using the artificial intelligence of a chess engine. The results reveal that faster decisions are associated with better performance. The findings are consistent with the predictions of procedural decision models like drift-diffusion-models in which decision makers sequentially acquire information about decision alternatives with uncertain valuations.

Suggested Citation

  • Uwe Sunde & Dainis Zegners & Anthony Strittmatter, 2022. "Speed, Quality, and the Optimal Timing of Complex Decisions: Field Evidence," CESifo Working Paper Series 9546, CESifo.
    • Handle: RePEc:ces:ceswps:_9546
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    File URL: https://www.cesifo.org/DocDL/cesifo1_wp9546.pdf
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    References listed on IDEAS

    as
    1. Larbi Alaoui & Antonio Penta, 2016. "Endogenous Depth of Reasoning," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 83(4), pages 1297-1333.
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    3. Anthony Strittmatter & Uwe Sunde & Dainis Zegners, 2020. "Life cycle patterns of cognitive performance over the long run," Proceedings of the National Academy of Sciences, Proceedings of the National Academy of Sciences, vol. 117(44), pages 27255-27261, November.
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    2. Johannes Carow & Niklas M. Witzig, 2024. "Time Pressure and Strategic Risk-Taking in Professional Chess," Working Papers 2404, Gutenberg School of Management and Economics, Johannes Gutenberg-Universität Mainz.

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    More about this item

    Keywords

    response times; speed-performance profile; drift-diffusion model; uncertain evaluations;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General
    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
    • C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General

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