Responsible Risk-Taking

Abstract

This article examines the concept of "responsible risk-taking." What does it entail? How prevalent is it? What is its effect on productivity improvement? The authors examine these questions and report the results from a national survey of municipal managers. Findings show that many senior local government managers are responsible risk-takers, and that such orientations are associated with high levels of productivity and low levels of litigation. However, about 17 percent of the respondents are found to be at-risk entrepreneurs.