The sunk cost fallacy in decision-making: psychological mechanisms and implications in finance, business and daily life
Caprino, Chiara (A.A. 2023/2024) The sunk cost fallacy in decision-making: psychological mechanisms and implications in finance, business and daily life. Tesi di Laurea in Io & competition theory, Luiss Guido Carli, relatore Gian Luigi Albano, pp. 33. [Bachelor's Degree Thesis]
|
PDF (Full text)
Download (1MB) | Preview |
Abstract/Index
Definition and impact of sunk costs. Psychological mechanisms of the sunk cost fallacy. Economic and behavioral implications. Theoretical foundations of the sunk cost fallacy. Expected utility theory (EUT). Prospect theory. Escalation of commitment. Case studies. The concorde fallacy. The Vietnam war. The Beagle 2. The sunk cost fallacy in financial investments and approaches to mitigate it. Sunk cost fallacy in finance. Common investor behaviors driven by sunk cost fallacy. Anchoring and the disposition effect. Mitigating sunk cost fallacy and related biases in finance. General tools to contrast the sunk cost fallacy in decision-making.
References
Bibliografia: pp. 32-33.
| Thesis Type: | Bachelor's Degree Thesis |
|---|---|
| Institution: | Luiss Guido Carli |
| Degree Program: | Bachelor's Degree Programs > Bachelor's Degree Program in Economics and Business, English language (L-33) |
| Chair: | Io & competition theory |
| Thesis Supervisor: | Albano, Gian Luigi |
| Academic Year: | 2023/2024 |
| Session: | Autumn |
| Deposited by: | Alessandro Perfetti |
| Date Deposited: | 01 Apr 2025 16:37 |
| Last Modified: | 01 Apr 2025 16:37 |
| URI: | https://tesi.luiss.it/id/eprint/41510 |
Downloads
Downloads per month over past year
Repository Staff Only
 |
View Item |
