This chapter surveys the economic literature on prevention and precaution. Prevention
refers as either a self-protection activity—ie a reduction in the probability of a loss—or a self …

Although there is a great deal of high-quality information available on resilience-related
topics—hazard assessment, vulnerability assessment, risk assessment, risk management …

Forecasting involves making predictions about an unknown question or issue. My focus here
is on why uncertainty and complexity pose special challenges in forecasting and what to do …

Little is known about why individuals place either a high or a very low value on mitigating
risks of disaster‐type events, like floods. This study uses panel data methods to explore the …

Technology risk arises when the effectiveness of self‐insurance and self‐protection activities
depends on exogenous factors or is only imperfectly known. It affects optimal behavior via a …

In a pandemic, testing and personal protection efforts (eg, masking) can help reduce
contagion and ultimate health costs. These options are costly, however, and so individuals …

In this paper we present an economic model for analyzing enterprise IT service downtime
cost, first on a standalone basis and then in a supply chain setting. With a baseline …

Understanding voluntary contribution in threshold public goods games has important
practical implications. To improve contributions and provision frequency, free-rider problem …

Consumer research has historically focused on relatively low-stakes decisions, as is
reflected in most of the work we review below. We believe that the idea of constructive …

This study explores how optimism bias influences decision-making in cyber risk
management by developing a novel model that reflects utility loss aversion, a factor …