Latest / Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Sunk Cost Fallacy in Your Workout and Wallet
Why do we keep watching terrible movies, stay in bad relationships, and hold losing stocks? It's the sunk cost fallacy — our brain's inability to ignore irrecoverable time and money. In this episode of Behavioral Economics with Fexingo, Lucas and Luna dissect a classic case from New Coke's 1985 launch, where Coca-Cola ignored early taste-test red flags because they had already spent millions. Then they explore a modern example: how the war in Ukraine exposed NATO's sunk-cost thinking in military aid decisions. You'll learn why your brain treats past costs as future…
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