The Interplay of Memory and Decision Making – Developmental and Aging Processes

Memory provides a foundation for the decisions we make.We almost never decide in isolation from past experiences; rather, our decisions are guided by prior knowledge and by valuations rooted in memory (e.g., Stewart et al., 2006).Preference construction from memory, for instance, helps us to anticipate the feelings and the utilities associated with different consequences (Kahneman & Snell, 1990) and can explain important choice phenomena (Weber & Johnson, 2006).Neuroeconomic research has also demonstrated a close link between valuation processes and brain regions that are critically involved in memory functioning (Shadlen & Shohamy, 2016).To date, however, much remains unknown about how developmental and age-related changes in memory shape judgments and decisions.A deeper understanding of this interplay helps to design decision tools for different age groups and targeted interventions to boost decision competence.Examining individual variability in memory-based decisions also provides important insights into relevant cognitive processes and key themes of decision making (e.g., Schooler & Hertwig, 2005;Horn et al., 2020;Spaniol & Bayen, 2005): First, memory is not a monolithic construct.Different memory systems or functions have diverging developmental trajectories.For instance, episodic remembering declines across adulthood, affecting the ability to recall specific past experiences, whereas semantic memory often remains stable; some aspects of knowledge and expertise may even improve.Lifespan research on episodic remembering also suggests that associative memory is relatively mature by middle childhood but involves brain structures that later show significant decline in older adulthood (Shing et al., 2010).It is therefore important to understand how specific decision problems involve different