Risk Management

Notes

It is perhaps within our human nature that we tend to be more loss averse, meaning that we strongly prefer to not lose what we have, than to gain something of (supposedly) similar value.

Risk management is also tied to our ability to predict the future and try to reduce Randomness and Uncertainty. The more we fail to do that, the more risk averse we are.

Our dislike of risk runs deep. Facing great risks, we might experience Emotional hijacking, where fear and stress takes hold of us and do what's possible to avoid that risk. Often risk avoidance can lead to a Fixed Mindset, because without facing risks and Challenges, we can't grow. We would be stuck in the status quo without any desire or hope for change. To live "safely" is to not live at all Helplessness

Visual

Overview

🔼Topic:: Human Nature (MOC) ↩️Origin:: 🔗Link::