Risk perception and decision-making

Risk perception refers to how individuals understand and evaluate potential dangers or uncertainties in a situation. People assess risks based on various factors, including personal experiences, emotions, and information available to them. Decision-making involves choosing an action based on that perception of risk. For instance, someone might decide to avoid a particular activity (like skydiving) if they perceive the risk as high, even if the statistical likelihood of an accident is low. Understanding risk perception helps in making informed choices that align with personal values and preferences while recognizing inherent uncertainties.