Risk Contagion Effect | NLM

Disaster Information Management Research Center | NLM

Risk Contagion Effect

05/01/2020 12:00 AM EDT

Source: Headington Institute. Published: 5/2020. This two-page document describes risk habituation, when our brain begins to numb itself to a perpetual threat, and the risk contagion effect, which is most often talked about in reference to "bear" and "bull" behaviors in the financial markets. It explains how this effect, along with risk habituation, can potentially muddy our judgment regarding the safety of our families, staff, and beneficiaries during the COVID-19 pandemic. (PDF)