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August 25, 2025Business Strategy and the EnvironmentOpen Access

Behavioral Insights for Managing Environmental Decisions: An Experimental Test of Prospect Theory

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Risk aversion with gains and risk-seeking with losses illustrates key behavior patterns among environmental agency workers.
Employees display a zero-risk bias, often preferring total elimination of violations over achieving better overall outcomes.
Conjoint experiments assess perceptions of regulatory compliance, showing social norms significantly affect violation behavior.
Findings indicate that while monetary incentives can deter violations, they do not encourage compliance effectively.

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Implication

Experimental analysis of prospect theory reveals insights on risk behavior in environmental protection agencies, suggesting new management strategies.

Cite This Study

Bellé et al. (2025) studied this question.

synapsesocial.com/papers/68af5f07ad7bf08b1eae17f1 https://doi.org/10.1002/bse.70159

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Implication

Experimental analysis of prospect theory reveals insights on risk behavior in environmental protection agencies, suggesting new management strategies.

Behavioral Insights for Managing Environmental Decisions: An Experimental Test of Prospect Theory

Key Points

Discussion

Implication

Cite This Study

Behavioral Insights for Managing Environmental Decisions: An Experimental Test of Prospect Theory

Key Points

Discussion

Implication

Cite This Study

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