THE EFFECTS OF GROUP DECISIONS AND GROUP-SHIFTS ON USE OF THE ANCHORING AND ADJUSTMENT HEURISTIC

Abstract

The use of the anchoring and adjustment heuristic by individuals and groups was examined. Subjects were either in a high or low anchor condition, and made decisions as individuals (pregroup), within groups, and then again as individuals (postgroup). Within-subject measurements were made to determine the extent of groups' use of the anchoring and adjustment heuristic, and the extent of group-shifts. The results indicate that groups are susceptible to anchoring effects in a manner similar to those of individuals. Additionally, a group-shift effect was noted, whereby group discussion allowed subjects' decision choices to move further from the anchor levels than the pregroup-individuals' choices. This further move from the anchor remained after the groups disbanded.