The Supersonic Jet and the Money Already Spent
Continuing a failing project looks irrational until the cost of stopping is counted.
British and French officials continued to fund the supersonic airliner Concorde even after its costs had far exceeded early estimates and its commercial prospects had dimmed. Many economists call this a sunk cost error, since money already spent cannot be recovered and should not guide decisions about future spending. They therefore conclude that the officials, by continuing, must have reasoned badly.
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