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Episode 010: Trade-Offs and Truth-Seeking with Andrew Berry

The Decision Education Podcast

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The Sunk Cost Fallacy in Football

There's a psychological phenomenon that would encompass the sunk cause fallacy, right? So for people who don't know, sunk cost is you have resources that you've spent on something, and the question is, do you want to continue in that endeavor? And obviously there's problems with that. Whatever dollar you spend to continue, or time that you spend you continue, you could be doing on other things that might be more profitable. This is a big football problem, yes? Because every single time you choose to spend on a player, and you have a salary cap, so you don't have unlimited resources.

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