← all facts
decision making
You keep reading this book because you started.
Investing time or money in a failing venture makes you paradoxically more likely to continue investing further.
The sunk cost fallacy suggests that instead of cutting losses, you attempt to justify past actions. You view the time already spent as an investment that must be protected, rather than a cost that is already gone.
You are throwing good money after bad to soothe your pride.
Where this comes from
- Study
- Arkes and Blumer, 1985, Organizational Behavior and Human Decision Processes
- What the check found
- The citation and the definition of the sunk cost effect are accurate and widely established in behavioral economics literature.
- Confidence
- Well replicated
Related
One of these every day, and every one names the study it came from. When a finding is contested, it says so.