What is the Sunk Cost Fallacy?
Even when presented with a better alternative, we may still be driven by our past choices. This phenomenon is known as the sunk cost fallacy: deciding out of fear of losing what was already invested, rather than evaluating potential gains or benefits in the future.
The implications are far-reaching – from investments and purchases to relationships; this cognitive bias can cause us to make illogical decisions that have long-lasting effects.
By understanding how it works, however, individuals can combat its influence and begin making more rational decisions that will lead them toward their desired outcomes.
The Impact of Sunk Cost Fallacy on Professional Career Decision-Making
We all make decisions based on our previous investments of time, energy, or money. When it comes to making career decisions and progressions, however, relying too heavily on what we have already put into something can lead us astray. This concept is known as sunk cost fallacy – the idea that not considering how much energy you’ve invested in a certain endeavor can cloud your judgment and hold you back from reaching your maximum potential.
In this blog post, we’ll delve into why the sunk cost fallacy is an issue and how it manifests itself when weighing long-term career decisions. Read on to get a deeper understanding of the complexity behind taking action where past commitment may be hindering forward momentum!
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