Risky Decisions: Active Risk Management (original) (raw)

De c is io ns : Ac tive Ris k Manage me nt Os wald Hube r Manus cript acce pte d ve rsion ris k-de fusing ope rator R DO in addition 2 Decision behavior with realistic risky scenarios is quite different from that in choices between gambles: Decision makers are less interested in probability information. Instead, they often attempt to actively manipulate the risk in an otherwise attractive alternative: A ( ) is an action intended by the decision maker to be performed to a specific existing alternative, and it is expected to decrease the risk (e.g., vaccination, insurance). The search for an RDO and the incorporation of a detected RDO into the alternative cannot be modeled with classical decision theories or heuristics. The paper presents Risk Management Decision Theory that describes the decision process with and without RDOs, and gives an overview about experimental research with RDOs. The consequences of the RDO concept for theories of decision behaviour are discussed. Abs trac t 13 1