Lumifer comments on Visions and Mirages: The Sunk Cost Dilemma - Less Wrong

-8 Post author: OrphanWilde 20 May 2015 08:56PM

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Comment author: Lumifer 21 May 2015 04:14:05PM 2 points [-]

You're strongly provoking category confusion in this subthread.

In game-theoretic scenarios where the other party can change your payoffs (or the rules of the game) notions like the Sunk Cost Fallacy are not operational, it's the wrong approach to a introduce them into the analysis. Of course it can be gamed, that's a pretty obvious observation. It's like trying to run regressions in the Milton Friedman's thermostat situation.