PhD Defence Kristel de Groot

Abstract

One of the greatest challenges in the social sciences is operationalisation: deciding how to define and measure concepts that cannot be directly observed. This includes risk-taking propensity (RTP), a construct central to various fields of research, such as psychology, economics, and management, due to its link with many impactful behaviours. For instance, individuals high in RTP are more likely to start a business, move away from where they live, or use illegal substances. However, there is no consensus on how individuals’ RTP can best be measured. Therefore, this dissertation provides a critical evaluation of several approaches. Part I of the dissertation explores the suitability of measuring RTP with behavioural tasks, particularly two popularised in psychology: the Balloon Analogue Risk Task and the Columbia Card Task. Part II of the dissertation focuses on measuring RTP using electroencephalography (EEG), often recorded while participants perform these same behavioural tasks. In addition, Part II addresses the problems associated with large researcher degrees of freedom and the use of small sample sizes in EEG research. Together, the findings from Parts I and II provide practical guidance to help researchers studying risk-taking propensity make a more informed decision about their choice of measurement.