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Thinking in Bets for Engineers 🎲— with Annie Duke

Refactoring Podcast

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Navigating Sunk Costs and Decision-Making

This chapter examines the psychological barriers individuals face due to sunk costs and social pressures, particularly in relationships and professional projects. It discusses cognitive biases affecting decision-making and offers practical strategies, such as pre-commitment devices, to foster proactive thinking. Through examples and frameworks, it advocates for establishing clear criteria to evaluate when to abandon failing paths and focus on effective decision processes.

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