Theoretical Framework of Risk

Theoretical Framework of Risk refers to a structured way of understanding and analyzing potential uncertainties and dangers in various contexts, such as finance, health, or safety. It involves identifying risks, assessing their likelihood and potential impact, and developing strategies to manage or mitigate them. This framework helps individuals and organizations make informed decisions by comparing possible outcomes and the trade-offs involved. Essentially, it provides a systematic method to comprehend and navigate the uncertainties we face in everyday life and specialized fields.