Rodrigo wanted to buy his wife a pearl necklace for her birthday. Murphy's Jewelry had a necklace he liked for $139, but he bought the same necklace at Pearls for Her. This pearl necklace was originally $173.75, but was on sale for 20% off, which reduced the price to $139. He was very pleased with the bargain he got. Rodrigo is subject to
A) overvaluing the present relative to the future.
B) overconfidence.
C) a sunk cost fallacy.
D) a framing bias.
Correct Answer:
Verified
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