Because MSB is not a good proxy for data quality, to examine the relationship between decision-making quality and cognitive ability, table 6 reports the regression coefficient on the LS task by overall cognitive ability for the control and treatment groups. The results show that data quality is low (insignificantly different from 0) for both high- and low-cognitive-ability individuals using the standard MPL. For the treatment group, data quality is significantly different from 0 for both high- and low-cognitive-ability individuals. The point estimates indicate that low-cognitive-ability individuals exhibited higher-quality decision making with the nudge protocol than high-cognitive-ability individuals did using the standard protocol. Table 6 also shows that cognitive ability is not a significant determinant of data quality for either the control or treatment group.18

Table 6.
Cognitive Ability and Data Quality: Regression Coefficient on LS
LowHigh$p$-values of
(1)(2)H0:(1) $=$ (2)
Control 0.149 0.229 0.768
$N$ 49 50
Treatment 0.523*** 0.704*** 0.486
$N$ 46 46
LowHigh$p$-values of
(1)(2)H0:(1) $=$ (2)
Control 0.149 0.229 0.768
$N$ 49 50
Treatment 0.523*** 0.704*** 0.486
$N$ 46 46

MPL is coded using method B, the number of risky choices made before the “first switch point.” High cognitive ability is defined as having above-median test scores (average of standardized verbal and math scores) in the control and treatment groups separately. Significant at *10%, **5%, and ***1%.

Close Modal