Gamblers who place larger and larger wagers in an effort to recoup earlier losses are displaying a decision-making behavior called _______________.
A) reverse pyramiding
B) load balancing
C) escalation of commitment
D) stacking the deck

Question

Quizplus · Accepted Answer

Escalation of commitment refers to the tendency to continue investing resources (in this case, money) in a decision or course of action, even if it is not achieving the desired results or outcomes. In the context of gambling, it can lead to chasing losses by placing larger and riskier bets, in the hope of recovering what has already been lost, which can ultimately result in even greater losses.

Gamblers Who Place Larger and Larger Wagers in an Effort