Although Shannon's information theory is alive and well in a number of fields, after an initial fad in psychology during the 1950s and 1960s it no longer is much of a factor, beyond the word bit, in psychological theory. The author discusses what seems to him (and others) to be the root causes of an actual incompatibility between information theory and the psychological phenomena to which it has been applied.
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R. Duncan Luce (2003) studied this question.
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