Risky Business: The Business of Risk

There is an element of risk – either to ourselves or to others – in almost everything we do. By deciding to go to the grocery store, for example, we take a (very small) risk of getting into a car accident. Many risks are acceptable, of course, but how do we know when a risk is worth taking? The most important decisions, after all, are often risky ones. What about risks to others’ welfare? How do we, and should we, take risk into account when we make decisions? John and Ken take their chances with Lara Buchak from UC Berkeley, author of Risk and Rationality.