The sunk cost error is when decision makers forget that current choices cannot correct the past.

Question

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The sunk cost error is the tendency to continue investing in a project or decision because of the resources already invested, even if it no longer makes sense in the present. This is due to the misconception that the past investments can be "recouped" or "made up for" by continuing down the same path, even if it no longer seems like the best choice.

The Sunk Cost Error Is When Decision Makers Forget That