Gov. Newsom Appeals to the Sunk Cost Fallacy to Promote the Failed Bullet Train

mises.org/mises-wire/gov-newsom-appeals-sunk-cost-fallacy-promote-failed-bullet-train

In the world of private enterprise, business owners pay attention to costs already incurred that cannot be recovered, also known as “sunk costs.” Government officials, however, see sunk costs as an incentive to promote public projects where costs clearly outweigh benefits.

This story appeared on mises.org, 2025-05-08 10:07:58.506000.
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