The tendency of people to invest more and more heavily in courses of action that they have previously undertaken, regardless of losses, is called____________.
A) availability bias
B) self-fulfilling prophecy
C) escalation of commitment
D) loss-aversion bias

Question

Quizplus · Accepted Answer

Escalation of commitment refers to the phenomenon where individuals or organizations continue to invest time, money, or resources into a decision or action despite evidence of it being a poor or losing choice. This is often due to a desire to justify previous investments or decisions, rather than accepting losses and moving on.

The Tendency of People to Invest More and More Heavily