The effects of manipulation of the subject's level of arousal on the right ear advantage (REA) in dichotic listening to CV-syllables were investigated. There were three different arousal manipulations under high and low incentive levels. Negative manipulations involved threat of electric shock (high incentive) or noise (low incentive) for incorrect answers. Positive manipulations involved the possibility to earn a substantial (high incentive) or small (low incentive) sum of money for correct answers. A third, neutral, condition involved no specific instructions about consequences for correct or incorrect answers. Thirty-six females participated in the study. Heart rate was recorded as an independent measure of change in level of arousal as a function of the experimental instructions. The results showed that the high negative condition abolished the REA effect, with a non-significant difference between ears. This was caused by both an increase in correct left ear reports and a decrease in correct right ear reports. The other arousal conditions had no effect on the REA. The results are discussed in terms of right hemisphere dominance for aversive emotional processing in dichotic listening.