The effect of a decision aid on risk aversion in capital investment decisions

Govind Iyer, Deborah McBride, Philip Reckers

Research output: Contribution to journalArticle

1 Scopus citations


In this study we examine whether a decision aid is an effective means of reducing risk aversion within a capital investment decision context, and under what conditions. Participating in the experiment were 78 working adults (mid management) with a mean age 30 and enrolled in a leading U.S. MBA program. We predict and find that a decision aid will be most effective among individuals intolerance of ambiguity and exhibiting high negative affect.

Original languageEnglish (US)
Pages (from-to)64-74
Number of pages11
JournalAdvances in Accounting
Issue number1
StatePublished - Jun 1 2012



  • Affect
  • Ambiguity aversion
  • Capital investments
  • Decision aids

ASJC Scopus subject areas

  • Accounting
  • Finance

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