Understanding Consumer Behaviour in the Context of Risk Exposure and Panic-Generating News: Empirical Findings from Inside the Crisis’ Psychology
Author:Ionuț Pandelică, Amalia Duțu and Sambit Kumar Mishra
JEL:D81, D83, D91.
DOI:10.24818/EA/2026/73/1079
Keywords:panic news, crisis, risk decoding, risk aversion, panic behaviour.
Abstract:
During turbulent times, uncertainty (“crisis fog”) and information overload (“infodemic”) significantly influence individual risk perception and behavioural responses to the volatile external environment. This study investigates the psychological mechanisms behind panic behaviour during the COVID-19 crisis, highlighting the effect of the “infodemic” as an external trigger that amplifies perceived risks. Using risk theory, the research model conceptualises risk perception through three components: perceived likelihood of exposure, perceived severity of consequences, and perceived controllability over exposure. These dimensions are examined in relation to risk aversion and coping strategies from two perspectives: health risk (COVID-19 infection) and economic risk (job loss). The findings show that perceived likelihood and perceived severity of exposure consequences are positively associated with risk aversion. However, the strength of these relationships varies depending on the type of risk, suggesting that psychological responses to uncertainty are context dependent. The “infodemic,” as an external trigger, intensifies negative emotions and behavioural reactions such as panic conduct. The study offers an enhanced understanding of the psychological factors of panic-related behaviour in crisis contexts and offers relevant insights for public communication and risk management strategies. Thus, the study results support the amplifying effect of the “infodemic” on negative emotions, leading to the manifestation of panic-driven behaviours, and highlight the importance of developing institutional mechanisms for the rapid monitoring and correction of false information circulating in the public space in contexts characterised by high levels of uncertainty. Furthermore, measures aimed at increasing perceived individual control may represent a relevant instrument for managing collective behaviour in contexts characterised by high uncertainty.