Incidental emotions and financial risk-taking

Do incidental emotions affect risk-taking? We use movie clips to test the effects of incidental emotions on incentivized risk-taking in a high powered (n=7,000) conceptual replication study on Prolific based on a detailed pre-analysis plan. We include a control group that does the risk task without an emotion manipulation and five experimental conditions where we manipulate emotion categories (calm; happiness; fear and anxiety; sadness; sadness, anger and disgust) using two movie clips per condition. As an emotion manipulation check, we also include a condition that rates the emotions of the movie clips without the risk task. The emotion manipulations worked as intended with large manipulation effects on the targeted emotions. However, we find no evidence of causal effects of incidental emotions on risk-taking. There are no statistically significant differences in risk-taking between the positive and negative emotion conditions and no effect of emotions compared to the control condition. Our results suggest that incidental emotions do not substantively affect risk preferences, at least in this setting.