Ambiguity aversion favors the known over the unknown
Humans tend to continue in a default course of action (or paradigm) even in the face of evidence that it is misguided because a course change requires shifting from an unambiguous context (the current path) to an ambiguous one (the unknown path).
Quitting on something means not knowing exactly what will come next. This is so challenging for us because of a cognitive bias that behavioral economists call ambiguity aversion. This quirk in our thinking causes us to overly favor the known over the unknown, even if the known leads you or your enterprise to a disastrous voltage drop. This is why tolerance for uncertainty is important not just when throwing your time and resources into something—it’s also necessary for pulling the plug.[1]
See also:
- Paradigms can have phenomenal longevity
- Binary Bias
- Fear Instinct hinders thinking by confusing risk with fear
The Voltage Effect – List (2022), ch. 8, § “Knowing When to Quit.” ↩︎