Vacuum Fears & U.S. Foreign Policy
Power Problems
00:00
Why Bases Are Overvalued?
There's a concept from cognitive psychology called the endowment effect, which is basically that you tend to overvalue things that you already possess versus things that you don't. So there are analogies to pro sports where teams are historically overly reluctant based on lots of analysis to trade players they have for future draft picks. And we tend to want to hold on for sentimental value sometimes to things that we have and to actually economic sense value them more highly than they would be valued on the market or things we don't yet possess. We sort of overvalue things because of the fact that we had them.
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