3min chapter

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch cover image

20VC: Shopify Founder Tobi Lütke on Why Micromanagement is Good | Why You Will Learn More From Studying World of Warcraft Guilds Than You Will Companies | Why Happiness is BS; Lessons on Marriage, Fatherhood & Decision-Making Quality

The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch

CHAPTER

How to Deal With a Sunk Cost Fallacy

A sunk cost fallacy is a real logic of fallacy. Like the fact that you have been doing something for a while means you want to keep going because if you change your mind now, then you're basically passing judgment on all your prior decisions. So again, if you're on a path of wanting to be right in the context of others, logical consistency is your primary optimization target. If new information comes in, that is not dangerous to your identity. This is what your curiosity steals you towards. And if that piece of information invalidates any of prior beliefs, you might completely change. Obviously, you need to go do the exact opposite of what you've been doing until this point. Your

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