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LESSON 1 · Spot the Logical Trap

The Loss Aversion Trade-off

Loss aversion is the psychological engine behind the sunk cost fallacy. Humans feel losses about twice as intensely as equivalent gains.

There is also commitment bias — once you publicly commit to a course of action, changing direction feels like admitting you were wrong. Your ego conspires with your wallet to keep you trapped. Writing down your reasons as you go helps you spot the patterns you would otherwise miss.