We make thousands of tiny decisions, every day. Most are choices we might not even be aware of – whether to snooze our alarm clocks, what to wear that day or the route we take to work. According to a 2007 study by researchers from Cornell University, more than 200 of those daily decisions simply relate to what we eat. In fact, when you’re queuing up for your morning tall skinny latte, it’s worth bearing in mind you have subconsciously ruled out 79,999 other options as the coffee chain Starbucks claims to offer more than 80,000 drink combinations, based on flavours, cup size and ingredients.
Nowhere is that abundance of offerings more visible than in how we spend our money. Last year Amazon enjoyed its biggest ever Christmas retail bonanza, selling more than a billion items over the festive season.
With Christmas a few days away, online retail platforms around the world are enjoying their most profitable week of the year. According to Statista, e-commerce sales worldwide reached $2.3 trillion last year and projections indicate that it should more than double to $4.88 trillion within three years.
We are a long way from a post-Second World War world, where brand choices were restricted. And the convenience of e-commerce platforms means we don’t have to drive to a store or mall and can access hefty discounts online as well as choosing from an unprecedented selection of products in our own homes. But is that always a good thing from a commercial point of view?
Barry Schwartz, the author of The Paradox of Choice: Why More is Less, argues that too much choice can confound customers and leave them less satisfied with their purchases. And as appealing as having extensive options in retail or online stores might seem to us, having too many possibilities can also undermine our ability to make a decision, leading to what is often referred to as "decision paralysis".
What might seem like a modern phenomenon is, in fact, centuries old. Aristotle referred in 350BC, in his treatise titled On the Heavens, to the plight of man, who "although exceedingly hungry and thirsty, and both equally, yet being equidistant from food and drink, is therefore bound to stay where he is". The paradox was further articulated by the dilemma of Buridan's Ass, named after the 14th century French philosopher Jean Buridan and referring to the hypothetical story of a donkey at equal distances to hay and water but unable to decide which way to go, starves to death.
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Artificial intelligence should be used to create the art of the future
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A series of laboratory and field psychology experiments reinforced the idea that choice can prevent people from making decisions. According to a 2000 paper from US academics titled When choice is demotivating: can one desire too much of a good thing? two booths were placed in a grocery store, one with six jam flavours and another with 24. Despite more people stopping at the booth with a wider variety of flavours, it was the booth with a limited number that sold the most. In another experiment, students invited to write a two-page essay as an extra-credit assignment were more likely to do it if they were able to choose between six rather than 30 topics to write about.
So what is going on in our brains when we have to make difficult decisions? Is it our initial preferences that determine the outcome of our choices or do we adjust our decision based on context?
These questions were tackled by Dr Katharina Voigt and her co-authors at the Melbourne School of Psychology in Australia in a new study published last month in the Journal of Neuroscience. The scientists asked male and female volunteers to choose between snack foods. Functional neuroimaging revealed that the region of participants' brains involved in evaluation was active during the decision-making process. These findings hint at a real-time adjustment of preferences rather than selection being pre-determined by prior choices, as previously thought. Thanks to eye-tracking technology, the researchers found that a longer gaze at a snack predicted choice but also indicated a re-evaluation of items when asked after their decisions were made.
Unsolicited suggestions offered to us on online platforms like Netflix and Amazon are based on very little information when we first use them but over time, algorithms track and understand our preferences and are able to predict with greater accuracy what we might like. While that is useful in dealing with indecision, it also hinders random selection and the chance of stumbling on something out of curiosity. It might take away our hesitation but it also removes diversity from the equation, something which is equally beneficial for our brains. So the next time you are scratching your head, unable to make a decision, don’t be deterred. Your eventual selection might just lead you to open up a whole new area or interest worthy of exploration.
Professor Olivier Oullier is the president of Emotiv, a neuroscientist and a DJ
Paatal Lok season two
Directors: Avinash Arun, Prosit Roy
Stars: Jaideep Ahlawat, Ishwak Singh, Lc Sekhose, Merenla Imsong
Rating: 4.5/5
WISH
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Our legal columnist
Name: Yousef Al Bahar
Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994
Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
UAE currency: the story behind the money in your pockets
Essentials
The flights
Emirates, Etihad and Malaysia Airlines all fly direct from the UAE to Kuala Lumpur and on to Penang from about Dh2,300 return, including taxes.
Where to stay
In Kuala Lumpur, Element is a recently opened, futuristic hotel high up in a Norman Foster-designed skyscraper. Rooms cost from Dh400 per night, including taxes. Hotel Stripes, also in KL, is a great value design hotel, with an infinity rooftop pool. Rooms cost from Dh310, including taxes.
In Penang, Ren i Tang is a boutique b&b in what was once an ancient Chinese Medicine Hall in the centre of Little India. Rooms cost from Dh220, including taxes.
23 Love Lane in Penang is a luxury boutique heritage hotel in a converted mansion, with private tropical gardens. Rooms cost from Dh400, including taxes.
In Langkawi, Temple Tree is a unique architectural villa hotel consisting of antique houses from all across Malaysia. Rooms cost from Dh350, including taxes.
Dubai World Cup Carnival card:
6.30pm: Handicap (Turf) | US$175,000 | 2,410 metres
7.05pm: UAE 1000 Guineas Trial Conditions (Dirt) | $100,000 | 1,400m
7.40pm: Handicap (T) | $145,000 | 1,000m
8.15pm: Dubawi Stakes Group 3 (D) | $200,000 | 1,200m
8.50pm: Singspiel Stakes Group 3 (T) | $200,000 | 1,800m
9.25pm: Handicap (T) | $175,000 | 1,400m
Four reasons global stock markets are falling right now
There are many factors worrying investors right now and triggering a rush out of stock markets. Here are four of the biggest:
1. Rising US interest rates
The US Federal Reserve has increased interest rates three times this year in a bid to prevent its buoyant economy from overheating. They now stand at between 2 and 2.25 per cent and markets are pencilling in three more rises next year.
Kim Catechis, manager of the Legg Mason Martin Currie Global Emerging Markets Fund, says US inflation is rising and the Fed will continue to raise rates in 2019. “With inflationary pressures growing, an increasing number of corporates are guiding profitability expectations downwards for 2018 and 2019, citing the negative impact of rising costs.”
At the same time as rates are rising, central bankers in the US and Europe have been ending quantitative easing, bringing the era of cheap money to an end.
2. Stronger dollar
High US rates have driven up the value of the dollar and bond yields, and this is putting pressure on emerging market countries that took advantage of low interest rates to run up trillions in dollar-denominated debt. They have also suffered capital outflows as international investors have switched to the US, driving markets lower. Omar Negyal, portfolio manager of the JP Morgan Global Emerging Markets Income Trust, says this looks like a buying opportunity. “Despite short-term volatility we remain positive about long-term prospects and profitability for emerging markets.”
3. Global trade war
Ritu Vohora, investment director at fund manager M&G, says markets fear that US President Donald Trump’s spat with China will escalate into a full-blown global trade war, with both sides suffering. “The US economy is robust enough to absorb higher input costs now, but this may not be the case as tariffs escalate. However, with a host of factors hitting investor sentiment, this is becoming a stock picker’s market.”
4. Eurozone uncertainty
Europe faces two challenges right now in the shape of Brexit and the new populist government in eurozone member Italy.
Chris Beauchamp, chief market analyst at IG, which has offices in Dubai, says the stand-off between between Rome and Brussels threatens to become much more serious. "As with Brexit, neither side appears willing to step back from the edge, threatening more trouble down the line.”
The European economy may also be slowing, Mr Beauchamp warns. “A four-year low in eurozone manufacturing confidence highlights the fact that producers see a bumpy road ahead, with US-EU trade talks remaining a major question-mark for exporters.”
MATCH INFO
Uefa Champions League quarter-final, second leg (first-leg score)
Porto (0) v Liverpool (2), Wednesday, 11pm UAE
Match is on BeIN Sports
How to wear a kandura
Dos
- Wear the right fabric for the right season and occasion
- Always ask for the dress code if you don’t know
- Wear a white kandura, white ghutra / shemagh (headwear) and black shoes for work
- Wear 100 per cent cotton under the kandura as most fabrics are polyester
Don’ts
- Wear hamdania for work, always wear a ghutra and agal
- Buy a kandura only based on how it feels; ask questions about the fabric and understand what you are buying
Company profile
Name: Thndr
Started: October 2020
Founders: Ahmad Hammouda and Seif Amr
Based: Cairo, Egypt
Sector: FinTech
Initial investment: pre-seed of $800,000
Funding stage: series A; $20 million
Investors: Tiger Global, Beco Capital, Prosus Ventures, Y Combinator, Global Ventures, Abdul Latif Jameel, Endure Capital, 4DX Ventures, Plus VC, Rabacap and MSA Capital
The Penguin
Starring: Colin Farrell, Cristin Milioti, Rhenzy Feliz
Creator: Lauren LeFranc
Rating: 4/5
MATCH INFO
Uefa Champions League semi-final, first leg
Bayern Munich v Real Madrid
When: April 25, 10.45pm kick-off (UAE)
Where: Allianz Arena, Munich
Live: BeIN Sports HD
Second leg: May 1, Santiago Bernabeu, Madrid
LOS ANGELES GALAXY 2 MANCHESTER UNITED 5
Galaxy: Dos Santos (79', 88')
United: Rashford (2', 20'), Fellaini (26'), Mkhitaryan (67'), Martial (72')
Student Of The Year 2
Director: Punit Malhotra
Stars: Tiger Shroff, Tara Sutaria, Ananya Pandey, Aditya Seal
1.5 stars
UAE SQUAD
Mohammed Naveed (captain), Rohan Mustafa, Ashfaq Ahmed, Rameez Shahzad, Shaiman Anwar, Mohammed Usman, Mohammed Boota, Zawar Farid, Ghulam Shabber, Ahmed Raza, Sultan Ahmed, Imran Haider, Qadeer Ahmed, Chirag Suri , Zahoor Khan