And that’s a good thing. If everyone valued every risk in precisely the same way, many risky opportunities would be passed up. Venturesome people place high utility on the small probability of huge gains and low utility on the larger probability of loss. Others place little utility on the probability of gain because their paramount goal is to preserve their capital. Where one sees sunshine, the other sees a thunderstorm. Without the venturesome, the world would turn a lot more slowly.
