The diffusion model is one of the most famous models of neuroeconomics which detects perceptual decisions in both humans & animals. This model weighs the alternatives & then arrives at a viable conclusion. The process is first motion information is projected to our retina. And next, our motion detectors in the area MT that is sensitive to a particular motion is activated. So the data from the motion detectors are collected by integrators, by the decision-making neurons, that accumulate data over time, and at the same time, inhibit alternative decisions by inhibitory neurons. And finally, the activity of the integrators of these neurons in the area LIP reach a decisions threshold, they activate neurons in the frontal eye field, and animal switches the gaze in a particular direction. So this is a simple model, but it explains perfectly, well the decision-making process.
Some advantages that I would propose for the diffusion model against the race model are :
• The diffusion model reacts adaptively to the levels of evidence supporting the losing alternative: the diffusion model will integrate for a shorter time if the evidence supporting the losing alternative is weak relative to the winning alternative.
• This adaptive ability is not present in the race model.
• If the thresholds in the two models are chosen to give the same accuracy, the diffusion model, on the average will be faster than the race model.
!The ‘diffusion’ model: choice should be made as soon as the difference between the evidence supporting the winning alternative and the evidence supporting the losing alternative exceeds a threshold
To sum up my opinion, the model is the most efficient one. This model explains a significant part of our decision-making ability. This model is responsible for our perceptual decisions. The model also takes into account all the alternatives & compares between them. In this way, it can arrive at the best option. This feature of it makes it the essential model in neuroeconomics.