Comparison of allocations by individuals and interacting groups in an escalation of commitment situation

In this study, individuals and interacting 3-person groups were asked to ma ke a series of allocation decisions using a modified version of the A&S dec ision case (Staw, 1976). Based on the choice-shift effect, it was hypothesi zed that groups would allocate more to a failing course of action than woul d individuals, and that these differences would emerge only after repeated sequential decisions. Both hypotheses were supported. These findings sugges t that processes unique to groups account for the greater allocations of gr oups, relative to individuals in escalation situations. The implications of these findings in applied settings are discussed.