Human decision making balances reward maximization and policy compression.

Policy compression is a computational framework that describes how capacity-limited agents trade reward for simpler action policies to reduce cognitive cost. In this study, we present behavioral evidence that humans prefer simpler policies, as predicted by a capacity-limited reinforcement learning model. Across a set of tasks, we find that people exploit structure in the relationships between states, actions, and rewards to "compress" their policies. In particular, compressed policies are systematically biased towards actions with high marginal probability, thereby discarding some state information. This bias is greater when there is redundancy in the reward-maximizing action policy across states, and increases with memory load. These results could not be explained qualitatively or quantitatively by models that did not make use of policy compression under a capacity limit. We also confirmed the prediction that time pressure should further reduce policy complexity and increase action bias, based on the hypothesis that actions are selected via time-dependent decoding of a compressed code. These findings contribute to a deeper understanding of how humans adapt their decision-making strategies under cognitive resource constraints.