Risk Management: An Interdisciplinary Framework

Abstract

Risk is shown to be based on both theory and practice. It is shown to be conceptual and technical, blending behavioral psychology, financial economics and decision making under uncertainty into a coherent whole that justify the selection of risky choices. Its applications are also broadly distributed across many areas and fields of interest. The examples treated here have focused on both finance, insurance and on a few problems in industrial management howeverRisk; Management; Interdisciplinarity