Economics
  • ISSN: 2155-7950
  • Journal of Business and Economics

The Impact of Emotions on Decision Making Processes

in the Field of Neuroeconomics

 
 
Anna Rostomyan
(University of Fribourg, Fribourg, Switzerland)
 
 
Abstract: According to the economic models of decision making decision makers choose between alternative courses of action by assessing the desirability and likelihood of their consequences, and integrating this information through some type of expectation-based calculus. The role of the mutually shared positive or negative emotional background knowledge of the speaking partners comes to the forefront and plays a vital role in the act of decision making. Any influence of incidental emotions would suggest that decisions are influenced by factors unrelated to the utility of their results. Yet, far too much of what happens in the process of communications occurs on the emotional level. According to A. Hochschild, there exist certain professions, economics included, in which the main actors at hand have to manage their emotions to sound proficient and skilled (Hochschild, 1983). Hence, within the scopes of the present paper the essence, application and utility of five emotion expression management techniques will are thoroughly discussed, i.e., simulation, inhibition, masking, intensification, and de-intensification (Andersen & Guerrero, 1998). Viewing this issue from a multilingual and multicultural perspective, we can state that in different languages there exist certain linguistic function words, called emotive boosters or intensifiers, with the usage of which the speaker can have an emotive impact on the listeners and subtly suggest them what emotions they should feel; thus, by means of cognitively structuring their speech acquiring a better chance of reaching their desired influence on the audience (Rostomyan, 2011, 2012, 2013). Nowadays, business representatives and economists have equally come to acknowledge that Neuroeconomics and Neuromarketing can greatly assist in building their commerce. Emotional Intelligence (also known as EQ) as opposed to rational Intelligence Quotient (better known as IQ) is the level of our ability to understand other people, their special needs and feelings, beliefs and desires, what motivates them and how to work cooperatively with them. Very often it is even more important for career and success than IQ (Goleman, 1995). As a matter of fact, by means of appropriately managing the verbal and non-verbal displays of emotions, the speaking partners stand a better chance of obtaining their desired objective.
 
 
Key words: neuroeconomics; decision making process; emotions versus rationality; emotion management techniques
 
JEL codes: D7




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