Sadie just bought a new karaoke machine to replace her old one, which works perfectly fine and would sell on Craigslist for $50. The fact that Sadie would not pay $50 for the old karaoke machine, yet continues to let it sit in her closet unused, is explained by:

Question

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The scenario describes the implicit cost of ownership bias, where Sadie values the old karaoke machine more simply because she owns it, despite not using it or it having a clear market value of $50. This bias leads her to keep the item instead of selling it, even though she wouldn't pay $50 to buy it again.

Sadie Just Bought a New Karaoke Machine to Replace Her