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Study Finds ‘High-Power’ People Unaware of Risks - Corruption Currents - WSJ

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From MF Global’s Jon Corzine to Aubrey McClendon of Chesapeake Energy, the highest levels of the corporate world are populated by risk-takers who sometimes veer into reckless behavior.

A new study in the Journal of Experimental Social Psychology provides some insight into this behavior by exploring the differences between “low power” and “high power” individuals. One conclusion it draws is that companies should seek a balance of such personalities, with risk-taking leavened by risk-aversion.

The high-power individuals in the study had more trouble recalling information that would get in the way of a goal, while they had the same retention levels of information that would facilitate reaching a goal.