Howard Kunreuther

He was the James G. Dinan professor emeritus of decision sciences and public policy at the Wharton School of the University of Pennsylvania.

[citation needed] His research focuses on managing and financing losses due to technological and natural hazards[2] such as high-level radioactive waste repositories,[3] and extreme events such as climate change,[4] terrorism,[5] earthquakes,[6] floods,[7] and hurricanes.

When dealing with uncertain and risky events, individuals tend to be myopic, optimistic and to prefer the status quo.

A behavioral risk audit addresses these cognitive biases so that individuals are more likely to pay attention to the potential consequences of low-probability events.

When combined with short-term economic incentives, individuals are likely to consider investing in protective measures that reduce the potential consequences of future catastrophic events.