For ideal agents, absolutely. For things like humans… Have you looked at the models in “Do Sunk Costs Matter?”, McAfee et al 2007?
EDIT: I’ve incorporated all the relevant bits of McAfee now, and there are one or two other papers looking at sunk cost-like models where the behavior is useful or leads to better equilibria.
For ideal agents, absolutely. For things like humans… Have you looked at the models in “Do Sunk Costs Matter?”, McAfee et al 2007?
EDIT: I’ve incorporated all the relevant bits of McAfee now, and there are one or two other papers looking at sunk cost-like models where the behavior is useful or leads to better equilibria.