Measuring beliefs and rewards

A neuroeconomic approach

Andrew Caplin, Mark Dean, Paul Glimcher, Robb B. Rutledge

Research output: Contribution to journalArticle

Abstract

The neurotransmitter dopamine is central to the emerging discipline of neuroeconomics; it is hypothesized to encode the difference between expected and realized rewards and thereby to mediate belief formation and choice. We develop the first formal tests of this theory of dopaminergic function, based on a recent axiomatization by Caplin and Dean (Quarterly Journal of Economics, 123 (2008), 663-702). These tests are satisfied by neural activity in the nucleus accumbens, an area rich in dopamine receptors. We find evidence for separate positive and negative reward prediction error signals, suggesting that behavioral asymmetries in responses to losses and gains may parallel asymmetries in nucleus accumbens activity.

Original languageEnglish (US)
Pages (from-to)923-960
Number of pages38
JournalQuarterly Journal of Economics
Volume125
Issue number3
DOIs
StatePublished - Aug 2010

Fingerprint

Asymmetry
Reward
Neuroeconomics
Dopamine
Prediction error
Economics
Axiomatization

ASJC Scopus subject areas

  • Economics and Econometrics

Cite this

Measuring beliefs and rewards : A neuroeconomic approach. / Caplin, Andrew; Dean, Mark; Glimcher, Paul; Rutledge, Robb B.

In: Quarterly Journal of Economics, Vol. 125, No. 3, 08.2010, p. 923-960.

Research output: Contribution to journalArticle

Caplin, Andrew ; Dean, Mark ; Glimcher, Paul ; Rutledge, Robb B. / Measuring beliefs and rewards : A neuroeconomic approach. In: Quarterly Journal of Economics. 2010 ; Vol. 125, No. 3. pp. 923-960.
@article{6639ec1ec4194f76af21cda4ae2529e6,
title = "Measuring beliefs and rewards: A neuroeconomic approach",
abstract = "The neurotransmitter dopamine is central to the emerging discipline of neuroeconomics; it is hypothesized to encode the difference between expected and realized rewards and thereby to mediate belief formation and choice. We develop the first formal tests of this theory of dopaminergic function, based on a recent axiomatization by Caplin and Dean (Quarterly Journal of Economics, 123 (2008), 663-702). These tests are satisfied by neural activity in the nucleus accumbens, an area rich in dopamine receptors. We find evidence for separate positive and negative reward prediction error signals, suggesting that behavioral asymmetries in responses to losses and gains may parallel asymmetries in nucleus accumbens activity.",
author = "Andrew Caplin and Mark Dean and Paul Glimcher and Rutledge, {Robb B.}",
year = "2010",
month = "8",
doi = "10.1162/qjec.2010.125.3.923",
language = "English (US)",
volume = "125",
pages = "923--960",
journal = "Quarterly Journal of Economics",
issn = "0033-5533",
publisher = "Oxford University Press",
number = "3",

}

TY - JOUR

T1 - Measuring beliefs and rewards

T2 - A neuroeconomic approach

AU - Caplin, Andrew

AU - Dean, Mark

AU - Glimcher, Paul

AU - Rutledge, Robb B.

PY - 2010/8

Y1 - 2010/8

N2 - The neurotransmitter dopamine is central to the emerging discipline of neuroeconomics; it is hypothesized to encode the difference between expected and realized rewards and thereby to mediate belief formation and choice. We develop the first formal tests of this theory of dopaminergic function, based on a recent axiomatization by Caplin and Dean (Quarterly Journal of Economics, 123 (2008), 663-702). These tests are satisfied by neural activity in the nucleus accumbens, an area rich in dopamine receptors. We find evidence for separate positive and negative reward prediction error signals, suggesting that behavioral asymmetries in responses to losses and gains may parallel asymmetries in nucleus accumbens activity.

AB - The neurotransmitter dopamine is central to the emerging discipline of neuroeconomics; it is hypothesized to encode the difference between expected and realized rewards and thereby to mediate belief formation and choice. We develop the first formal tests of this theory of dopaminergic function, based on a recent axiomatization by Caplin and Dean (Quarterly Journal of Economics, 123 (2008), 663-702). These tests are satisfied by neural activity in the nucleus accumbens, an area rich in dopamine receptors. We find evidence for separate positive and negative reward prediction error signals, suggesting that behavioral asymmetries in responses to losses and gains may parallel asymmetries in nucleus accumbens activity.

UR - http://www.scopus.com/inward/record.url?scp=77956586665&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=77956586665&partnerID=8YFLogxK

U2 - 10.1162/qjec.2010.125.3.923

DO - 10.1162/qjec.2010.125.3.923

M3 - Article

VL - 125

SP - 923

EP - 960

JO - Quarterly Journal of Economics

JF - Quarterly Journal of Economics

SN - 0033-5533

IS - 3

ER -