206: The Psychology of the Sunk Cost Fallacy: Why We Hold On and How to Let Go

<p style="line-height: 1.75;"><span style="font-size: 16px;">A few months ago, I was talking with one of my new Inner Circle members.</span></p> <p style="line-height: 1.75;"><span style="font-size: 16px;">She said to me, "<em>Katy, I joined your program because I can't keep living this way,</em>" and even though I knew I could help her, it broke my heart to hear that. 🥹</span></p> <p style="line-height: 1.75;"><span style= "font-size: 16px;"><em>After beginning to work together, I quickly I realized the <span style= "text-decoration: underline;">root</span> of why she wasn't seeing progress <span style="text-decoration: underline;">wasn't</span> a lack of willpower, lack of consistency or lack of strategy...</em></span></p> <p style="line-height: 1.75;"><span style= "font-size: 16px;">NOPE.</span></p> <p style="line-height: 1.75;"><span style="font-size: 16px;"><em>It was because (unbeknownst to her) she had a psychological bias called the "sunk cost fallacy" .</em></span></p> <p style="line-height: 1.75;"><span style= "font-size: 16px;">Essentially, it's this idea that if you've already put resources (like time and money) into something, you should continue to invest in it (or KEEP it, in this case), <span style="text-decoration: underline;"><em>even if you know it's not the best decision.</em></span></span></p> <p style="line-height: 1.75;"><strong><span style= "font-size: 16px;">This bias is known as the "sunk cost" fallacy because the resources you've invested are already gone, just like a ship that has sunk.</span></strong></p> <p style="line-height: 1.75;"><span style="font-size: 16px;">And after taking my advice, which I also share with you too, in today's episode - her declutter progress <span style= "text-decoration: underline;">skyrocketed.</span> 🚀</span></p> <p style="line-height: 1.75;"><em><span style= "font-size: 16px;">I'm talking going from 0 to 100. </span></em></p> <p style="line-height: 1.75;"><span style="font-size: 16px;">This is why I LOVE 1-1 coaching...</span></p> <p style="line-height: