%0 Journal Article
%T Fretting about Modest Risks Is a Mistake
%A Matthew Rabin
%A Max Bazerman
%J California Management Review
%@ 2162-8564
%D 2019
%R 10.1177/0008125619845876
%X Managers often engage in risk-averse behavior, and economists, decision analysts, and managers treat risk aversion as a preference. In many cases, acting in a risk-averse manner is a mistake, but managers can correct this mistake with greater reflection. This article provides guidance on how individuals and organizations can move toward greater reflection and a more profitable aggregate portfolio of decisions. Inconsistency in risk preferences across decisions is a costly mistake for both individuals and for organizations
%K insurance
%K decision making
%K decision biases
%K risk management
%K risk
%U https://journals.sagepub.com/doi/full/10.1177/0008125619845876