This paper addresses the primary contribution of prospect theory against the landscape of an individual's self-attributed risk propensity. Risk propensity is captured using the IPI psychometric questionnaire for a sample of 521 participants. Participants are also presented with probability-based...

In this article prediction markets are presented as an innovative technology that can facilitate effective risk communication. The application of prediction markets in this context is an opportunity to reconcile the disparate approaches currently discussed in the risk communication literature....

This study demonstrates that the basis of decision-making and risk selection in the London Political Risk Insurance (PRI) market is a combination of <italic>Art and Science</italic> with such factors as trust and reputation playing an important role. The study breaks new ground by uncovering and examining...