scholarly journals On the Relationship between Cognitive Ability and Risk Preference

2018 ◽  
Vol 32 (2) ◽  
pp. 115-134 ◽  
Author(s):  
Thomas Dohmen ◽  
Armin Falk ◽  
David Huffman ◽  
Uwe Sunde
Keyword(s):  
Decision Making ◽  
Cognitive Ability ◽  
Risk Taking ◽  
Risk Preference ◽  
Future Research ◽  
Life Domains ◽  
Risk And Uncertainty ◽  
Decision Making Under Risk ◽  
Controlled Environments ◽  
The Relationship

This paper will focus on the relationship between cognitive ability and decision-making under risk and uncertainty. Taken as a whole, this research indicates that cognitive ability is associated with risk-taking behavior in various contexts and life domains, including incentivized choices between lotteries in controlled environments, behavior in nonexperimental settings, and self-reported tendency to take risks. One pattern that emerges frequently in these studies is that cognitive ability tends to be positively correlated with avoidance of harmful risky situations, but it tends to be negatively correlated with risk aversion in advantageous situations. We conclude by discussing perspectives for future research, in particular the scope for the development of richer sets of elicitation instruments and measurement across a wider range of concepts.

scholarly journals Fear from Afar, Not So Risky After All: Distancing Moderates the Relationship Between Fear and Risk Taking

2021 ◽  
Author(s):  
Lewend Mayiwar ◽  
Fredrik Björklund
Keyword(s):  
Decision Making ◽  
Risk Taking ◽  
Risk Estimation ◽  
Negative Relationship ◽  
Judgment And Decision Making ◽  
Future Research ◽  
Main Effect ◽  
Decision Making Processes ◽  
The Relationship

A growing line of research has shown that individuals can regulate emotional biases in risky judgment and decision-making processes through cognitive reappraisal. In the present study, we focus on a specific tactic of reappraisal known as distancing. Drawing on appraisal theories of emotion and the emotion regulation literature, we examine how distancing moderates the relationship between fear and risk taking and anger and risk taking. In three pre-registered studies (Ntotal = 1,483), participants completed various risky judgment and decision-making tasks. Replicating previous results, Study 1 revealed a negative relationship between fear and risk taking and a positive relationship between anger and risk taking at low levels of distancing. Study 2 replicated the interaction between fear and distancing but found no interaction between anger and distancing. Interestingly, at high levels of distancing, we observed a reversal of the relationship between fear and risk taking in both Study 1 and 2. Study 3 manipulated emotion and distancing by asking participants to reflect on current fear-related and anger-related stressors from an immersed or distanced perspective. Study 3 found no main effect of emotion nor any evidence of a moderating role of distancing. However, exploratory analysis revealed a main effect of distancing on optimistic risk estimation, which was mediated by a reduction in self-reported fear. Overall, the findings suggest that distancing can help regulate the influence of incidental fear on risk taking and risk estimation. We discuss implications and suggestions for future research.

scholarly journals Fear From Afar, Not So Risky After All: Distancing Moderates the Relationship Between Fear and Risk Taking

2021 ◽  
Vol 12 ◽  
Author(s):  
Lewend Mayiwar ◽  
Fredrik Björklund
Keyword(s):  
Decision Making ◽  
Risk Taking ◽  
Risk Estimation ◽  
Negative Relationship ◽  
Judgment And Decision Making ◽  
Future Research ◽  
Main Effect ◽  
Decision Making Processes ◽  
The Relationship

A growing line of research has shown that individuals can regulate emotional biases in risky judgment and decision-making processes through cognitive reappraisal. In the present study, we focus on a specific tactic of reappraisal known as distancing. Drawing on appraisal theories of emotion and the emotion regulation literature, we examine how distancing moderates the relationship between fear and risk taking and anger and risk taking. In three pre-registered studies (Ntotal = 1,483), participants completed various risky judgment and decision-making tasks. Replicating previous results, Study 1 revealed a negative relationship between fear and risk taking and a positive relationship between anger and risk taking at low levels of distancing. Study 2 replicated the interaction between fear and distancing but found no interaction between anger and distancing. Interestingly, at high levels of distancing, we observed a reversal of the relationship between fear and risk taking in both Study 1 and 2. Study 3 manipulated emotion and distancing by asking participants to reflect on current fear-related and anger-related stressors from an immersed or distanced perspective. Study 3 found no main effect of emotion nor any evidence of a moderating role of distancing. However, exploratory analysis revealed a main effect of distancing on optimistic risk estimation, which was mediated by a reduction in self-reported fear. Overall, the findings suggest that distancing can help regulate the influence of incidental fear on risk taking and risk estimation. We discuss implications and suggestions for future research.

scholarly journals Diurnal Cortisol and Decision Making Under Risk in Problem Gambling

2019 ◽  
Author(s):  
Tony W Buchanan
Keyword(s):  
Decision Making ◽  
Problem Gambling ◽  
Risk Taking ◽  
Healthy Control Group ◽  
Control Group ◽  
Decision Making Under Risk ◽  
Risky Decision ◽  
Diurnal Cortisol ◽  
Healthy Control ◽  
The Relationship

The aim of this study was to assess the influence of diurnal cortisol profile on decision making under risk in individuals with gambling disorder and a healthy control group. We examined the relationship between diurnal cortisol, assessed over the course of two days, and a battery of tasks that assessed decision making under risk, including the Columbia Card Task and the Cups Task. Thirty individuals with problem gambling and 29 healthy individuals took part in the study. Those with problem gambling showed blunted diurnal cortisol and more risk taking behavior compared to those in the healthy control group. Blunted cortisol profile was associated with more risky behavior and less sensitivity to losing money in problem gambling. These findings suggest that blunted stress physiology plays a role in specific parameters of risky decision making in problem gambling.

Sexual Coercion in the College Population: A Form of Risk-Taking Behavior

2017 ◽  
Vol 35 (23-24) ◽  
pp. 5276-5291
Author(s):  
Alisa R. Garner ◽  
Laura C. Spiller ◽  
Patrick Williams
Keyword(s):  
Decision Making ◽  
Risk Taking ◽  
Sexual Coercion ◽  
Sensation Seeking ◽  
Outcome Expectation ◽  
College Population ◽  
Risk Taking Behavior ◽  
Reckless Behavior ◽  
Decision Making Model ◽  
The Relationship

The purpose of this study was to examine whether a decision-making model of risk-taking behavior, specifically impulsivity, positive and negative outcome expectation, and sensation seeking, can be extended to motivation for perpetration of sexual coercion. Participants included 276 sexually active college students between the ages of 18 and 25 years old who completed a set of questionnaires: (a) Sexual Experiences Survey, (b) Sensation Seeking Scales, (c) Cognitive Appraisal of Risky Events, (d) Barratt Impulsiveness Scale, and (e) Reckless Behavior Questionnaire. Multiple regression analyses were utilized to examine the relationship between these decision-making models and sexually coercive behaviors. General risk-taking behaviors were positively correlated with acts of sexual coercion, r = .16, p < .01. The predictor variables accounted for a significant amount of the variance in sexual coercion, R2 = .11, F(4, 246) = 7.57, p < .01. Only sensation seeking contributed unique variance to our model of sexual coercion, β = .27, t = 4.06, p < .01. Interventions to reduce sexual coercion may be more successful if they target those high in risk-taking. Similarly, prevention efforts informed by research on how to engage and hold the attention of sensation seeking youth may be more successful.

scholarly journals Disentangling ADHD's Presentation-Related Decision-Making—A Meta-Analytic Approach on Predominant Presentations

2021 ◽  
Vol 12 ◽  
Author(s):  
Marcel Schulze ◽  
David Coghill ◽  
Silke Lux ◽  
Alexandra Philipsen
Keyword(s):  
Decision Making ◽  
Attention Deficit Hyperactivity Disorder ◽  
Reinforcement Learning ◽  
Risk Taking ◽  
Attention Deficit ◽  
Meta Analysis ◽  
Analytic Approach ◽  
Effect Sizes ◽  
Hyperactivity Disorder ◽  
The Relationship

Background: Deficient decision-making (DM) in attention deficit/hyperactivity disorder (ADHD) is marked by altered reward sensitivity, higher risk taking, and aberrant reinforcement learning. Previous meta-analysis aggregate findings for the ADHD combined presentation (ADHD-C) mostly, while the ADHD predominantly inattentive presentation (ADHD-I) and the predominantly hyperactive/impulsive presentation (ADHD-H) were not disentangled. The objectives of the current meta-analysis were to aggregate findings from DM for each presentation separately.Methods: A comprehensive literature search of the PubMed (Medline) and Web of Science Database took place using the keywords “ADHD,” “attention-deficit/hyperactivity disorder,” “decision-making,” “risk-taking,” “reinforcement learning,” and “risky.” Random-effects models based on correlational effect-sizes were conducted. Heterogeneity analysis and sensitivity/outlier analysis were performed, and publication biases were assessed with funnel-plots and the egger intercept.Results: Of 1,240 candidate articles, seven fulfilled criteria for analysis of ADHD-C (N = 193), seven for ADHD-I (N = 256), and eight for ADHD-H (N = 231). Moderate effect-size were found for ADHD-C (r = 0.34; p = 0.0001; 95% CI = [0.19, 0.49]). Small effect-sizes were found for ADHD-I (r = 0.09; p = 0.0001; 95% CI = [0.008, 0.25]) and for ADHD-H (r = 0.1; p = 0.0001; 95% CI = [−0.012, 0.32]). Heterogeneity was moderate for ADHD-H. Sensitivity analyses show robustness of the analysis, and no outliers were detected. No publication bias was evident.Conclusion: This is the first study that uses a meta-analytic approach to investigate the relationship between the different presentations of ADHD separately. These findings provide first evidence of lesser pronounced impairment in DM for ADHD-I and ADHD-I compared to ADHD-C. While the exact factors remain elusive, the current study can be considered as a starting point to reveal the relationship of ADHD presentations and DM more detailed.

Entrepreneurial Grit: Insights and Applications for New Ventures

2021 ◽  
Author(s):  
Marcus Wolfe
Keyword(s):  
Risk Taking ◽  
New Ventures ◽  
New Venture ◽  
Future Research ◽  
Venture Performance ◽  
Entrepreneurial Passion ◽  
The Face ◽  
The Relationship ◽  
Entrepreneurial Careers

The pursuit of entrepreneurship is often characterized by high levels of struggle and adversity, and even those who ultimately succeed in their entrepreneurial endeavors routinely experience failures and setbacks along the way. Therefore, it is likely that individuals who are more skilled at coping with, and conquering, such obstacles in their quest for success are more apt to enter, and be successful at, entrepreneurial careers. While several factors contribute to an individual’s ability to persevere through adversity and to continue to work to accomplish long-term goals, individual grit has garnered an increasing level of attention as a key element in such persistence, particularly in entrepreneurial contexts. Grit, conceptualized as an individual’s passion and perseverance in the pursuit of accomplishing long-term goals, can play several roles in the entrepreneurial process. While grit is a potential outcome of entrepreneurial passion, it also has important associations with several key entrepreneurial outcomes. For instance, given that entrepreneurship is linked with risk-taking, grit is an asset for individuals who chase entrepreneurial opportunities. Higher levels of risk incur a greater likelihood of failure, and the ability to persist with entrepreneurial initiatives in the face of failures is potentially bolstered by high levels of grit. Furthermore, persistence against adversity can often translate into improved venture performance as a result of entrepreneurs’ continued, focused efforts at developing and improving their new venture. Furthermore, grit may play an even more important role for individuals who face heightened levels of adversity during their entrepreneurial careers. Women and younger individuals often experience unique challenges that their counterparts who are men or older do not have to face. Therefore, having high levels of grit may be an advantage in women and youth. While the relationship between grit and entrepreneurship has gained considerable momentum as a topic of scholarly interest, there are important avenues available for future research to further develop understanding of the topic.

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