Marginal Thinking and the Sunk Cost Fallacy

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  • Опубликовано: 19 янв 2025

Комментарии • 26

  • @MarginalRevolutionUniversity
    @MarginalRevolutionUniversity  Год назад +2

    Get our FREE Intro to Economics unit plan: mru.io/q31
    Continue learning with practice questions: mru.io/zdf
    Watch the next video: mru.io/y3d

  • @jvb5590
    @jvb5590 Год назад +16

    YES!! Please make more animated videos on economics! Your animated economics videos are at this channel's roots!

  • @kangre63
    @kangre63 Год назад +6

    So glad you have restarted your videos. Yours is my favorite educational economics channel ever. I have watched many of them over and over. I always learn so much from you. Thank you ! Keep up these excellent videos.

  • @hughbarton5743
    @hughbarton5743 6 месяцев назад +4

    Great video.
    If you would like to observe the fallacy of sunken cost need only visit the user car area of your local car dealer!
    I was in management in that field, was well regarded in my market as being a fixer. Here's the scene:
    At virtually every place I've ever run, I found that my predecessors had at least a couple of units that had been in stock 1+ years!
    (Ideal number: 20 days or so....)
    Upon questioning, I usually heard some variant of: "if I wholesale it now, we'll lose thousands!!!!!".
    Bad News: you already lost it. Plan: go to next auction in area, sell car. For whatever you can get. DO NOT bring it back to the dealership... Astonishing how often this screwup was repeated...
    Well, kept me very employable.....

  • @lmqs94
    @lmqs94 Год назад +9

    I miss these type of videos. Economics is my second love.

  • @lissim82
    @lissim82 Год назад +4

    Fantastic way of explaining concepts.

  • @betterthanmyrealname9601
    @betterthanmyrealname9601 Год назад +4

    Nice to see you again Alex!

  • @JacobALibra
    @JacobALibra Год назад +3

    Love these videos! The editing is top notch!

  • @bibilistic
    @bibilistic 8 месяцев назад

    I just found this channel. I was searching for "Efficient Market Hypothesis" when i found your video... I think your videos are terrific. Thank you.

  • @monicagilbert1065
    @monicagilbert1065 9 месяцев назад

    Great video! Thanks for making these concepts so fun!!

  •  Год назад

    This is a deep emotional and rational video, not an economic one. and I love it

  • @LibertyAnd1776
    @LibertyAnd1776 Год назад +2

    I love these educational economics videos.

  • @toan.2764
    @toan.2764 21 день назад

    T‌his‌‌ is crazy, im viet and those who didn't learn english or only follow the purely lectures during the day are missing out

  • @KateScott-gi3wj
    @KateScott-gi3wj Год назад +2

    GREAT JOB!! MB > MC

  • @Pst103
    @Pst103 Месяц назад

    Nice class

  • @sjaoenvf
    @sjaoenvf 8 месяцев назад

    SCF. so profound. thank you.

  • @rayhanchowdhuryriaz6044
    @rayhanchowdhuryriaz6044 Год назад

    আপনারা কোন সফটওয়্যার ব্যবহার করেন ভিডিও এডিট করার জন্য?
    which software do you use?

  • @jacklin2605
    @jacklin2605 9 месяцев назад +1

    Why MB=MC is optional?
    I thought we should maximize MB & minimize MC

    • @fallu6224
      @fallu6224 Месяц назад

      Did you ever find out?

  • @LabelsAreMeaningless
    @LabelsAreMeaningless Год назад

    Never encourage gouging. Every company needs to stay in the black with enough towards costs and growth, but hiking prices far beyond that is predatory and opens up paths for competition to undercut your pricing. It doesn't help you or your customer in the long term.

    • @tinyleopard6741
      @tinyleopard6741 Год назад

      That's the thing, you don't know what's far beyond for "costs and growth". Try the idea out, a small business of your own, like selling coconuts, lemonade, tofu-based drinks, or what counts as street food drinks in your local area, the ones with low startup costs.

  • @Friedrich291
    @Friedrich291 10 месяцев назад

    Why any of my teachers can put it so clear as you?

  • @sourabhmayekar3354
    @sourabhmayekar3354 Год назад +1

    Nice

  • @bogdankhudoidodov6866
    @bogdankhudoidodov6866 Год назад

    who are you???? Why is it so good and free?????

  • @dp6943
    @dp6943 4 месяца назад

    Comparing Marginal cost to Marginal benifit
    Optimal decision Marginal cost = Marginal benifit
    What not think about
    Sunk cost fallacy
    Sometimes you have to lose to in order to win
    When make choices think about cost and benifit that change with choicen
    Ignore sunk cost