Is there an official name for a situation where someone has invested so much in something to an extent that if he withdraws the investment right now they feel it will cost more compared to keeping the status quo? I.e., to keep investing even though they are losing in the hope that someday the losing streak will end and they can start winning back?
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2 Answers
It sounds like it might be the Sunk cost fallacy https://www.logicallyfallacious.com/tools/lp/Bo/LogicalFallacies/173/Sunk-Cost-Fallacy
In poker, it's called pot committed. https://www.pokernews.com/strategy/understanding-what-it-means-to-be-pot-committed-20050.htm
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Thanks. It seems that Sunk Cost can also refer to a situation where the initial 'bad' money is a small amount therefore someone will not go ahead and stop at that point. However in the situation I am listing here the bad money is already a huge amount. Jan 27, 2017 at 14:07
It's called throwing good money after bad.
throw good money after bad
Waste more money in hopes of recouping previous losses, as in Hiring him to improve that software is throwing good money after bad; it's based on an older operating system and will soon be obsolete . [Late 1800s]
-- American Heritage Dictionary of Idioms (The Free Distionary)
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Thanks. Following what you suggested, I also found this link. But the effect I was looking for was something with an emphasis on the mentality/mindset of that hopeless status quo of keeping losing otherwise losing even more. Jan 27, 2017 at 14:10