Emotion-impacted Decision-making under Risks

Abstract

This study explores the influence of emotional states on decision-making under risk, particularly examining how can emotions like happiness and sadness affect human risk-seeking behaviors. The experiment involved 53 Chinese participants divided into two groups, each subjected to an emotion manipulation through a short film clip to induce happiness or sadness. After verifying emotional states, participants engaged in a gamble game designed to measure risk-seeking versus risk-averse choices across various scenarios involving gains and losses. The results revealed that participants in the sad condition exhibited a higher propensity for risk-seeking behavior (60%) compared to those in the happy condition (44.44%). Moreover, a significant difference was observed between gain and loss sections within the sad group, with risk-seeking behavior being more pronounced in the loss section. The t-test results (t = 2.66, p = 0.0104) indicated a statistically significant difference in risk-seeking behavior between the two emotional states. These findings suggest that emotion significantly impacts decision-making processes under risky situations, with sadness promoting greater risk-seeking tendencies. The study contributes to understanding the emotional drivers behind decision-making and highlights the importance of accounting for emotional states in models of risk-based decision-making.