Many philosophers hold that for various reasons there must be psychological laws governing beliefs and desires. One of the few serious examples that they offer is the _belief-desire law_, which states, roughly, that _ceteris paribus_ people do what they believe will satisfy their desires. This paper argues that, in fact, there is no such law. In particular, decision theory does not support the contention that there is such a law.

Individual differences on a variety of framing and conjunction problems were examined in light of Slovic and Tversky's (1974) understanding/acceptance principle-that more reflective and skilled reasoners are more likely to affirm the axioms that define normative reasoning and to endorse the task construals of informed experts. The predictions derived from the principle were confirmed for the much discussed framing effect in the Disease Problem and for the conjunction fallacy on the Linda Problem. Subjects of higher cognitive ability were disproportionately likely (...) to avoid each fallacy. Other framing problems produced much more modest levels of empirical support. It is conjectured that the varying patterns of individual differences are best explained by two-process theories of reasoning (e.g. Evans, 1984, 1996; Sloman, 1996) conjoined with the assumption that the two processes differentially reflect interactional and analytic intelligence. (shrink)

It is central to standard economic theory that people act on their interests. People are interested in a variety of things, so a range of values should influence market behavior. When engaged in commerce, however, people generally act for personal gain; the influence of other values usually just disappears in the marketplace. What is missing from the standard account is that people often act on proper subsets of their interests. Economics can, however, be extended to capture this insight. Key Words: (...) economic theory • attention • self-interest • social responsibility • discrimination. (shrink)

The paper is an addition to the intensionalist approach to decision theory, with emphasis on game theoretic modelling. Extensionality in games is an a priori requirement that players exhibit the same behavior in all algebraically equivalent games on pain of irrationality. Intensionalism denies that it is always irrational to play differently in differently represented but algebraically equivalent versions of a game. I offer a framework to integrate game non-extensionality with the more familiar idea of linguistic non-extensionality from philosophy of language, (...) followed by applications of it based on toy examples of well-known game models. I argue that the notion of what I call “Intensional Nash Equilibrium” is, in effect, very useful in understanding human decision-making. (shrink)

The stakes-shifting cases suggest that pragmatic factors such as stakes play an important role in determining our intuitive judgments of whether or not S knows that p. This seems to be in conflict with intellectualism, according to which pragmatic factors in general should not be taken into account, when considering whether or not S knows that p. This paper develops a theory of judgments of knowledge status that reconciles intellectualism with our intuitive judgments regarding the stakes-shifting cases. I argue that (...) pragmatic factors affect only our epistemic perspectives, i.e., the ways in which we evaluate S’s epistemic position. Therefore, pragmatic factors only have an indirect impact on our judgments of knowledge status. (shrink)