ECONOMICS

Detailed explanation-1: -System 2 is the more “analytical, ” “deliberate” and “rational” side to the thinking process. It is pieced together by logical judgment and a mental search for additional information acquired through past learning and experience.

Detailed explanation-2: -System 2 allocates attention to the effortful mental activities that demand it, including complex computations. The operations of System 2 are often associated with the subjective experience of agency, choice, and concentration.

Detailed explanation-3: -System 1 operates automatically and quickly, with little or no effort and no sense of voluntary control. System 2 allocates attention to the effortful mental activities that demand it, including complex computations.

Detailed explanation-4: -Kahneman describes System 2 as “lazy, ” because in most cases it does not change the decisions proposed by System 1. In other words, people tend to respond automatically to most events rather than employ System 2, and even when they do, System 2 tends to favor the conclusions of System 1.