The Neuroeconomics of Simple and Complex Choice

Neuroeconomics investigates how the brain makes decisions. The field integrates insights from neuroscience, psychology, economics, and computer science. In simple choices, such as selecting between an apple and a pear, the brain computes and compares value signals for each option. After each choice, the value signals are updated according to the experienced outcome by reinforcement learning. The brain structures involved in choices include different areas of the frontal and parietal cortex, striatum, and amygdala, whereas the value updating involves the reward prediction error signal of dopamine neurons. Complex choices involve interaction among choice options and engage additional neural circuits and computations. While some mechanisms from simple choice are preserved, complex decisions require higher-order processing in the prefrontal cortex. Thus, neuroeconomics aims to build a unified, biologically grounded model of both simple and complex decision-making.