ABSTRACT
Past experiences play a key role in shaping risk preferences. Several experimental studies have found that the impact of antecedent risk exposure on subsequent risk-taking behaviour varies across domains, but a gap still exists in the literature with respect to how this dynamic is shaped by gains and losses. This paper experimentally reveals that exposure to a higher level of risk in the gain domain makes individuals more risk-taking in the subsequent loss domain and vice versa.
Acknowledgements
This research was supported by the National Natural Science Foundation of China (72103066 and 71973048); the Basic and Applied Basic Research Foundation of Guangdong Province (2020A1515110123).
Disclosure statement
No potential conflict of interest was reported by the authors.