Neuroeconomics, Neuromarketing & Neuroethics

8/9/2019 Neuroeconomics, Neuromarketing & Neuroethics

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Neuroeconomics,

Neuromarketing & Neuroethics

Dr. Michael A. Davis


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What is Neuroeconomics?

Neuroeconomics is the use of information

about brain activity, derived from

neuroimaging tools and brain scans, to further

understand the processes involved in

economic decision-making.

Key: where the brain chooses to look.


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Neuroimaging Tools

Event-related Brain Potentials (ERP)

Functional Magnetic Resonance Imagery

(fMRI)

Positron Emission Tomography (PET)

Magnetoencephalograms (MEG)

Single Photon Emission ComputedTomography (SPECT)


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Research Focus

Risk Preferences aversion to uncertain

rewards

Decisions Under Uncertainty

Brain States

Emotional States

Prior Experiences Bottom Line: Economic decision-making is not

rational


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Framing

1,286 cancer deaths per 10,000 people is

thought to be 32% riskier than 12.86%!

78% chance of meeting financial goals

overrides 22 out of 100 people with your

strategy will end up eating cat food in the

park.

Buy one get one free is preferred over 50% off.


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Brain Scans

Greed is Good, Gain is Mundane

Expecting Dough vs. Expecting Dope

Learning without Awareness Im in Control Here

The Known Unknown

Dont Go ThereFrom Your Money & Your Brain, Zweig


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References

http://www.neuroeconomics.org/

http://neuroeconomics.net/ (George Mason)

http://www.neuro-economics.org/ (CalTech)

http://www.neuroeconomicstudies.org/

(Claremont)

http://neuroeconomics.duke.edu/

http://www.neuroeconomics.nyu.edu/index.php

Your Money & Your Brain, Jason Zweig
http://www.neuroeconomics.org/http://neuroeconomics.net/http://www.neuro-economics.org/http://www.neuroeconomicstudies.org/http://neuroeconomics.duke.edu/http://www.neuroeconomics.nyu.edu/index.phphttp://www.neuroeconomics.nyu.edu/index.phphttp://neuroeconomics.duke.edu/http://www.neuroeconomicstudies.org/http://www.neuroeconomicstudies.org/http://www.neuro-economics.org/http://www.neuro-economics.org/http://www.neuro-economics.org/http://neuroeconomics.net/http://www.neuroeconomics.org/


8/17

Neuromarketing

Neuromarketing is a new discipline which uses

neuroimaging techniques to visualize the brain

area activated by stimuli related with advertising,

marketing and communication.

imagilys.com

What this kind of research attempted to do is to

get at the internal, subconscious states of mind,unadulterated by conscious deliberation.

Imediaconnection.com
http://www.imagilys.com/brain-imaging-neuroimaging/http://www.imagilys.com/brain-imaging-neuroimaging/


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Buyology

But if marketers could uncover what is going

on in our brains that makes us choose one

brand over another what information passes

through our brains filter and what

information doesnt well that would be key

to truly building brands of the future.

Buyology: Truth and Lies About Why We Buy,Martin Lindstrom


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Taste vs. Memory

A team of researchers studied the Coke-Pepsiparadox: during blind taste tests, the majority oftesters preferred the taste of Pepsi, despite thefact that they buy more Coke. Functional MRI

permitted demonstrating an astonishing fact:invoking the Coke trademark activates large areasof the brain, linked to memory, which shows thatconsumers are more influenced by their memory

of the trademark than they are by the taste of theproduct.

imagilys.com


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Sophisticated

http://www.youtube.com/watch?v=M3wY0M

POPI4

http://www.youtube.com/watch?v=S0ht2mm

a3YY

http://www.sandsresearch.com/Staff_Favorite

s.aspx
http://www.youtube.com/watch?v=M3wY0MPOPI4http://www.youtube.com/watch?v=M3wY0MPOPI4http://www.youtube.com/watch?v=S0ht2mma3YYhttp://www.youtube.com/watch?v=S0ht2mma3YYhttp://www.sandsresearch.com/Staff_Favorites.aspxhttp://www.sandsresearch.com/Staff_Favorites.aspxhttp://www.sandsresearch.com/Staff_Favorites.aspxhttp://www.sandsresearch.com/Staff_Favorites.aspxhttp://www.youtube.com/watch?v=S0ht2mma3YYhttp://www.youtube.com/watch?v=S0ht2mma3YYhttp://www.youtube.com/watch?v=M3wY0MPOPI4http://www.youtube.com/watch?v=M3wY0MPOPI4


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References

http://www.wisegeek.com/what-is-

neuromarketing.htm

http://www.neurosciencemarketing.com/blog

http://www.imagilys.com/neuromarketing/

http://www.imediaconnection.com/content/6

317.asp

Buyology, Martin Lindstrom
http://www.wisegeek.com/what-is-neuromarketing.htmhttp://www.wisegeek.com/what-is-neuromarketing.htmhttp://www.neurosciencemarketing.com/bloghttp://www.imagilys.com/neuromarketing/http://www.imediaconnection.com/content/6317.asphttp://www.imediaconnection.com/content/6317.asphttp://www.imediaconnection.com/content/6317.asphttp://www.imediaconnection.com/content/6317.asphttp://www.imagilys.com/neuromarketing/http://www.neurosciencemarketing.com/bloghttp://www.wisegeek.com/what-is-neuromarketing.htmhttp://www.wisegeek.com/what-is-neuromarketing.htmhttp://www.wisegeek.com/what-is-neuromarketing.htmhttp://www.wisegeek.com/what-is-neuromarketing.htmhttp://www.wisegeek.com/what-is-neuromarketing.htm


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Neuroethics

Neuroethics encompasses a wide array ofethical issues. These include ethicalproblems raised by advances in functional

neuroimaging, brain implants, brain-machineinterfaces and psychopharmacology as well asby our growing understanding of the neuralbases of behavior, personality, consciousness,

and states of spiritual transcendence.

neuroethics.upenn.edu


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Issues

http://www.youtube.com/watch?v=NOfKyjyW

iU0

http://www.youtube.com/watch?v=oHaMQ3t

AXes
http://www.youtube.com/watch?v=NOfKyjyWiU0http://www.youtube.com/watch?v=NOfKyjyWiU0http://www.youtube.com/watch?v=oHaMQ3tAXeshttp://www.youtube.com/watch?v=oHaMQ3tAXeshttp://www.youtube.com/watch?v=oHaMQ3tAXeshttp://www.youtube.com/watch?v=oHaMQ3tAXeshttp://www.youtube.com/watch?v=NOfKyjyWiU0http://www.youtube.com/watch?v=NOfKyjyWiU0


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Legal Implications

The researchers found that activity in an analytic part of thebrain, known as the right dorsolateral prefrontal cortex, trackedthe decision of whether or not a person deserved to bepunished but, intriguingly, appeared relatively insensitive todeciding how much to punish. By contrast, the activity in brain

regions involved in processing emotions, such as the amygdala,tracked how much subjects decided to punish.

sciencedaily.com/releases/2008/12/081210121912.htm

Brain is not fully matured until 25 years old.

Techniques to rewire the brain.


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HOW IT ALL FITS

Be prepared to add neuro to the front of

everything.

Raises Mind vs. Brain consciousness questions

Significant problems around manipulation and

exploitation


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References

http://www.neuroethics.upenn.edu/

http://neuroethics.stanford.edu/

http://kolber.typepad.com/ http://neuroethics.ca

http://www.bioethics.gov/

http://bioethics.com/ Neuroethics, Neil Levy
http://www.neuroethics.upenn.edu/http://neuroethics.stanford.edu/http://kolber.typepad.com/http://www.bioethics.gov/http://bioethics.com/http://bioethics.com/http://www.bioethics.gov/http://kolber.typepad.com/http://neuroethics.stanford.edu/http://www.neuroethics.upenn.edu/

Neuroeconomics, Neuromarketing & Neuroethics

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