The influence of regulatory focus on risky decision-making

Abstract

Although studies show that regulatory focus influences decision making and risk taking, theories of risky decision making typically conflate different regulatory orientations and the related distinctions between the positive and negative risks associated with acts of omission and commission. In contrast, we argue that different regulatory orientations influence risk perception and risk propensity in different ways and underpin complex emotional responses in risky decision making. We propose a new model of these processes and suggest that regulatory focus may be important in priming and managing risk taking behavior. We conclude by discussing implications for research and practice