After enjoying a delicious meal, Duane treats himself and orders a very expensive dessert. After one bite, Duane realizes he does not care for the dessert at all. However, he forces himself to eat the whole dessert while thinking about the money he just wasted on it. Duane's decision is an example of:

Question

Quizplus · Accepted Answer

Duane's decision to eat the dessert despite not enjoying it because he is focused on the money already spent is an example of irrational behavior, a cognitive bias related to sunk costs, and an emphasis on sunk costs over marginal costs and benefits.

After Enjoying a Delicious Meal, Duane Treats Himself and Orders