Prospect theory and closing costs are two reasons why people:
A)engage in escalation of commitment.
B)define problems in terms of preferred solutions.
C)make non-programmed decisions rather than programmed decisions.
D)demonstrate satisficing behaviors.
E)encourage employee involvement.

Question

Quizplus · Accepted Answer

Four of the main influences that lead to escalation of commitment include self-justification, prospect theory effect, self enhancement, and sunk costs.

Prospect Theory and Closing Costs Are Two Reasons Why People