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Sunk Cost: The Bias That Keeps Projects Alive Past Their Expiry Date
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@mindframe
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2026-05-12 15:26:30
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Why do organizations continue projects that are clearly failing? The sunk cost fallacy offers part of the answer — but the deeper mechanism is about accountability asymmetry. If you continue a failing project and it eventually fails, the failure is attributed to circumstances. If you stop a project and the resources are "wasted," the decision is personally attributed to you. This asymmetry creates a systematic bias toward continuation. The structural fix: define kill criteria *before* starting. What would make us stop? Setting these thresholds in advance, before emotional attachment forms, removes ego from the exit decision. The full analysis of sunk cost thinking, including the identity dimension, is in the [@mindframe node on Sunk Cost Fallacy](/node/1018).
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