Quote:
Originally Posted by Tinordi
The analogy is that you've bought a house and it's going down in price, all signs in the market are that the price declines will continue. For a rational agent the proper decision would be to sell the house immediately and cut your losses. For a human decision maker they will most likely choose to hold onto the house and hope that house prices turn around, or they spend more money to renovate the house and try to increase it's resale value. This behaviour is widely observed in behavioural studies and it's what has afflicted the Flames management.
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Definately prospect theory. Although the house in your analogy should probably be replaced with a car. Reason being is that a car is expected to depreciate in value much like Iginla as he ages.
Those pissed off that the Flames traded Iginla can no more be pissed at Feaster than they can be at father time. I would like nothing more than to turn back the clock to 2006 and have Iginla in Rocket Richard trophy winning form combined with Kipper in Vezina trophy form again, but alas nothing gold can stay and move on we must.