Adonis Diaries

These Sunk Costs fallacies and Reciprocity phenomenon

Posted on: October 14, 2014

These Sunk Costs fallacies Reciprocity phenomenon

The money is already paid and gone: We might as well finish a horrible and boring film, store this lousy equipment we never used, stick to this unfortunate ad we designed…

I have invested so much time and energy on this harassing relationship, on this bankrupt business…

And the more we invest, money, time and energy, and emotional trauma… the harder the decision to quit on a losing endeavor.

There is a difference among being consistent, stubborn, credible… and grabbing a sunk cost behavior that leads nowhere.

Justifying a non-recoverable investment by falling prey to a sunk cost fallacy has been the basic error for much miseries in prolonged actual wars and unconscionable grandiose projects.

I feel that the Reciprocity phenomenon is a more general trend that is closely relate to the sunk cost tendency

People have extreme difficulty being in another person’s debt, though it is a natural and a very useful survival behavior.

Reciprocity is a form of risk management and it can break or make a relationship, at the individual or community level.

People who behave very “Independent” and do their utmost Not to be in the debt of anyone, particularly the elite class in the community, (the in-group behavior) are less respected and loathed than those who asks and knocks on door for help.

It is from experience that if you borrow money and return it you’ll be considered an honorable and credible member of the community and will be remembered.  The more people you ask for favor, the larger is your circle of friends.

Those who stay detached and don’t ask for aid are forgotten and live mostly alone.

Reciprocity can be carried out in revenge behavior: An eye for an eye. And breaking this cycle of violent behaviors require strong characters.

Reciprocity phenomenon  is different from falling prey to the tactic of “First give, then take later“.

Example is the Hare Krishna tactic: a member forces upon you a free flower. Soon enough, another member asks for a donation.

There are No free drinks at the end of  the party.

 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

adonis49

adonis49

adonis49

Blog Stats

  • 1,481,951 hits

Enter your email address to subscribe to this blog and receive notifications of new posts by email.adonisbouh@gmail.com

Join 811 other followers

%d bloggers like this: