The effect of self-control on the construction of risk perceptions

Jayson S. Jia, Uzma Khan, Ab Litt

Research output: Contribution to journalArticle

7 Scopus citations

Abstract

We show that the way decision makers construct risk perceptions is systematically influenced by their level of self-control: low self-control results in greater weighting of probability and reduced weighting of consequences of negative outcomes in formulating overall threat perceptions. Seven studies demonstrate such distorted risk construction in wide-ranging risk domains. The effects hold for both chronic and manipulated levels of perceived self-control and are observed only for risks involving high personal agency (e.g., overeating, smoking, drinking). As an important implication of our results, we also demonstrate that those lower (higher) in self-control show relatively less (more) interest in products and lifestyle changes reducing consequences (e.g., a pill that heals liver damage from drinking) than those reducing likelihood of risks (e.g., a pill that prevents liver damage from drinking). We also explore several possible underlying processes for the observed effect and discuss the theoretical and managerial relevance of our findings.

Original languageEnglish (US)
Pages (from-to)2259-2280
Number of pages22
JournalManagement Science
Volume61
Issue number9
DOIs
StatePublished - Jan 1 2015
Externally publishedYes

Keywords

  • Perceived risk
  • Risk estimation and information processing
  • Risky behavior mitigation
  • Self-control
  • Weighting bias

ASJC Scopus subject areas

  • Strategy and Management
  • Management Science and Operations Research

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