Ep. 603: Avoid the Sunk-Cost Fallacy, and Why it’s Hard to Plan for Emergencies

We talk about how to avoid the mental trap of the “sunk-cost fallacy.” Plus, why it’s so hard to plan for emergencies and the biases that keep us from preparing for risk. Episode highlights: Try This at Home: Avoid the sunk-cost fallacy—the mental trap that keeps us committed because of the time, money, or energy we’ve already spent [04:57] Happiness Hack: Create a personal reading syllabus with deadlines to help you read more [12:58] Happiness Stumbling Block: Six common biases that make it difficult to assess and prepare for rare but serious emergencies [16:03] Demerits and Gold Stars: Gretchen’s Demerit: Turning into a Knicks bore; Elizabeth’s Gold Star: To her friend Mindy for a new exercise experience [24:11] Mentioned in this episode: The Ostrich Paradox: Why We Underprepare for Disasters by Robert Meyer and Howard Kunreuther (Amazon, Bookshop) This Vast Enterprise: A New History of Lewis and Clark by Craig Fehrman (Amazon, Bookshop) Audition by Katie Kitamura (Amazon, Bookshop) Rolling utility cart Happier Labor Day resources Connect with Us: Email: podcast@gretchenrubin.com Website: gretchenrubin.com Instagram: @gretchenrubin | @lizcraft Take Gretchen's free Four Tendencies quiz Enjoyed this episode? Leave us a review on Apple Podcasts or rate us on Spotify—it helps other listeners find the show! Find the transcript for this episode on the episode details page in the Apple Podcasts app. Learn more about your ad choices. Visit megaphone.fm/adchoices

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