José tried caviar at a restaurant and found he did not like it. However, he ate all of it because he had paid such a high price for it. José's behavior can be explained as
A) a framing bias.
B) a sunk cost fallacy.
C) altruism.
D) overconfidence.

Question

Quizplus · Accepted Answer

José's decision to eat all of the caviar despite not liking it because he paid a high price for it is an example of the sunk cost fallacy. This fallacy occurs when individuals continue a behavior or endeavor as a result of previously invested resources (time, money, or effort), even if they would not continue the behavior considering the current costs and benefits alone.

José Tried Caviar at a Restaurant and Found He Did