Psychology of previous investment
The phrase psychology of previous investment was coined by James Howard Kunstler[1] to describe the sunk costs of the modern urban/suburban lifestyle. It is the reluctance to abandon technologies and standards of urban infrastructure into which humans have already made substantial investments, and is seen as a major contributor to modern energy crises.[2] The term was applied to the reluctance to abandon territories facing sea level rise such as in Florida.[3]
See also
[edit]- Abandonment cost
- Normalcy bias
- Optimism bias
- Ostrich effect
- Pro-innovation bias
- Semmelweis reflex
- Sunk cost fallacy
References
[edit]- ^ "Association for the Study of Peak Oil & Gas - USA - Clean Energy Redemption?". Archived from the original on 2008-02-18. Retrieved 2008-02-17.
- ^ "David Gornoski: James Howard Kunstler on the Psychology of Previous Investment - A Neighbor's Choice". davidgornoski.libsyn.com. Archived from the original on 2025-05-05. Retrieved 2025-05-05.
- ^ Resilience (2019-09-04). "The Insanity of Previous Investment". resilience. Archived from the original on 2025-05-05. Retrieved 2025-05-05.
- The Psychology of Previous Investment - Raise the Hammer
- PetroCollapse New York Conference; October 5, 2005 - Remarks on the subject from Kunstler's website