Fallacy In Sports

502 Words2 Pages

The New York Yankees were in an unusual predicament in their final year with Derek Jeter. Jeter announced that he was retiring after the 2014 season, but the Yankees decided to sign him to one-year contract worth twelve million dollars. They could have used this money to pursue a younger, more talented shortstop for them who would give them a better shot at winning a World Series. The New York Yankees fell into a very common thing that happens in sports and that is the sunk cost fallacy.
Jeter is the captain of the Yankees and is a fan favorite. When you walk into Yankee Stadium you will see the name Jeter on the back of almost every jersey. He has won five world series with the Yankees and played his twenty seasons with them. This 40-year-old fan favorite may not be helping the team win, however. He has not been able to stay off the disabled list and had a lousy .190 batting average this last season and played in only 17 games. The Yankees just can’t seem to part ways with him though. …show more content…

His salary is 2 million dollars cheaper at only 10 million a year, but the Yankees stuck with Jeter. Tulowitzki had a .312 batting average in 2013 and played in 126 games compared to Jeter’s .190 batting average and he played in only 19 games. Tulowitzki is also only 28 years old so he is in his prime, while Jeter at 40 is far from his.
So why wouldn’t the Yankees pursue a new shortstop and get rid of Jeter? They fell into the sunk cost fallacy. Sunk cost is a cost that has already been incurred and is nonrenewable. Sunk costs should be ignored in decisions about future actions. The Yankees had so much invested in Jeter over the years that they decided to go with him at shortstop for another year instead of someone much younger and more talented. Jeter did not give the Yankees their best shot at winning a world series, but they played him

Open Document