Information As an Asset How to Protect Your Data

Total Page:16

File Type:pdf, Size:1020Kb

Information As an Asset How to Protect Your Data Information as an Asset How to Protect your Data Citi Public May 15th, 2013 Overview Define Information Security Information Security Risks Information Security Reviews Citi Public 1 Agenda Information security - what is it? Password protection tips Protecting against social engineering Recognizing phishing scams Know the game of thieves Identity theft What to do if you are a victim? When and how to perform reviews Resources Citi Public 2 What is it? A collective set of policies, standards, processes and procedures that limits or controls access to, and use of, information to authorized users. – IS is the process of protecting data from unauthorized access, use, disclosure, destruction, modification, or disruption. Citi Public 3 Is Information Security something new? Julius Caesar is credited with the invention of the Caesar cipher c50 B.C. to prevent his secret messages from being read should a message fall into the wrong hands. WW II brought about significant advancements in IS in that formalized classification of data based upon sensitivity of information and who could have access to the information was introduced. The rapid growth and wide spread use of electronic data processing and electronic business conducted through the Internet fueled the need for better methods of protecting these computers and the information they store, process and transmit. Citi Public 4 Information Security Core Principles Confidentiality Holding sensitive data in confidence, limited to an appropriate set of individuals or organizations. Integrity Data can not be created, changed, or deleted without authorization Availability The information, the computing systems used to process the information, and the security controls used to protect the information are all available and functioning correctly when the information is needed. The opposite of availability is denial of service (DOS) Citi Public Password Construction Techniques Constructing tough-to-crack passwords is an important way that you can protect information and your identity. A good password must also be unique. When constructing your password, never use easy-to-guess password elements such as: – Your User ID (jsmith) – A phone number or street address – Names of family members, close friends, coworkers, pets, etc. – Your title or function (secretary, manager, security, etc.) – Names of places Citi Public Password Protection Technique Once you’ve constructed a hard-to-guess password, these are some important steps you should take to protect it: Do not give your password anyone – even if they claim they have a valid business reason. Change your passwords on a periodic basis as even the strongest passwords can be guessed or misplaced over time. In most cases, your business will select the appropriate period and it will be enforced automatically by the operating system or application. Watch out for applications that "remember" your password, so that you do not have to input the password again. Typically these applications have a checkbox on the log in screen that asks: "Remember my ID on this computer?" Always select “no” in response to this question. Citi Public Social Engineering A facet of Information Security aimed at manipulating people Creating a false sense of trust in order to… – Gain insider access – Obtain sensitive information – Bypass an organization's existing physical security controls Citi Public Types of Social Engineering Psychological Subversion – Establishing a relationship with an insider to gain access to continuing stream of information Masquerading – Impersonating people with legitimate access or a need to know to gain access Shoulder Surfing – Stealing information by watching a legitimate user type in a password Citi Public Examples of Social Engineering Tailgating – Entering secure locations by following behind someone with legitimate access Dumpster Diving – Finding improperly discarded information Look out for… – Rushing – Name-dropping – Intimidation – Small mistakes, for example: misspellings, misnomers, odd questions, etc. – Requesting forbidden information Citi Public Identity Theft – What is it? A component or subset within IS principles and the CIA Triad. According to the non-profit Identity Theft Resource Center, identity theft is "sub-divided into four categories: – Financial Identity Theft - using another's name and SSN to obtain goods and services – Criminal Identity Theft - posing as another when apprehended for a crime – Identity Cloning - using another's information to assume his or her identity in daily life – Business/Commercial Identity Theft - using another's business name to obtain credit Citi Public Recognizing Phishing Scams Phishing is a type of internet deception designed to steal your valuable personal data. In other words, Phishing may be considered a means to commit Identity Theft. Thieves might send fraudulent e-mail messages that appear to come from websites you trust and have existing relationships with. BEWARE they may not be legitimate What does a phishing scam look like? Often include official-looking logos from real organizations and other identifying information taken directly from legitimate websites. Citi Public Phishing Example Citi Public Don’t be a victim of Identity Theft Types: – Hijacking existing accounts and deposits – Creating new alternate identities How can someone steal my identity? – Stealing records – Trash (Dumpster Diving) – Credit Reports – Theft of wallet, purses – Electronic scams (as discussed) Citi Public How can i spot a true website than a fake? Look for the lock or key icon at the bottom of the browser. If the site has changed since your last visit, be suspicious. A list of popular financial sites that use a secure page for logins is maintained on pharming.org Check spelling, grammar, and punctuation. If there are errors chances are you may have been phished. Hover over suspicious links to find masked URL’s A reputable business will never ask you to verify account information online. Did you initiate the contact? What to do? Report suspicious incidences to the Organization immediately Citi Public What if I am a victim? Four steps to minimize damage/maximize control: Contact the fraud department at one of the major credit bureaus Review your credit report Contact institutions where fraud occurred File a police report Citi Public How and When to Perform Information Security Reviews - Internal Periodic reviews of critical functions (management and/or maker checker controls) Constant Vigilance: All sensitive data shall be at all times monitored (email, shared drives access, databases, creation and deletion of user id’s) Enforcement: verification of controls in place by an IS officer Citi Public How and When to Perform Information Security Reviews - External Preventive: Verification prior to agree in outsourcing any service, agree on terms in the contract. Enforcement: Quarterly (Vendor Manager) and yearly (IS officer) verification of controls in place Reactive: In case of any breach identified, implement immediate measures to control the situation Citi Public Statistics Source of information: PhishTank Citi Public Questions Citi Public .
Recommended publications
  • Douglas Hyde (1911-1996), Campaigner and Journalist
    The University of Manchester Research Douglas Hyde (1911-1996), campaigner and journalist Document Version Accepted author manuscript Link to publication record in Manchester Research Explorer Citation for published version (APA): Morgan, K., Gildart, K. (Ed.), & Howell, D. (Ed.) (2010). Douglas Hyde (1911-1996), campaigner and journalist. In Dictionary of Labour Biography vol. XIII (pp. 162-175). Palgrave Macmillan Ltd. Published in: Dictionary of Labour Biography vol. XIII Citing this paper Please note that where the full-text provided on Manchester Research Explorer is the Author Accepted Manuscript or Proof version this may differ from the final Published version. If citing, it is advised that you check and use the publisher's definitive version. General rights Copyright and moral rights for the publications made accessible in the Research Explorer are retained by the authors and/or other copyright owners and it is a condition of accessing publications that users recognise and abide by the legal requirements associated with these rights. Takedown policy If you believe that this document breaches copyright please refer to the University of Manchester’s Takedown Procedures [http://man.ac.uk/04Y6Bo] or contact [email protected] providing relevant details, so we can investigate your claim. Download date:24. Sep. 2021 Douglas Hyde (journalist and political activist) Douglas Arnold Hyde was born at Broadwater, Sussex on 8 April 1911. His family moved, first to Guildford, then to Bristol at the start of the First World War, and he was brought up on the edge of Durdham Downs. His father Gerald Hyde (1892-1968) was a master baker forced to take up waged work on the defection of a business partner.
    [Show full text]
  • Terrorism Versus Democracy
    Downloaded by [University of Defence] at 20:58 07 June 2016 Terrorism versus Democracy This book examines the terrorist networks that operate globally and analyses the long-term future of terrorism and terrorist-backed insurgencies. Terrorism remains a serious problem for the international community. The global picture does not indicate that the ‘war on terror’, which President George W. Bush declared in the wake of the 9/11 attacks, has been won. On the other hand it would be incorrect to assume that Al Qaeda, its affiliates and other jihadi groups have won their so-called ‘holy war’ against the Coalition against Terrorism formed after 9/11. This new edition gives more attention to the political and strategic impact of modern transnational terrorism, the need for maximum international cooperation by law-abiding states to counter not only direct threats to the safety and security of their own citizens but also to preserve international peace and security through strengthening counter-proliferation and cooperative threat reduction (CTR). This book is essential reading for undergraduate and postgraduate students of terrorism studies, political science and international relations, as well as for policy makers and journalists. Paul Wilkinson is Emeritus Professor of International Relations and Chairman of the Advisory Board of the Centre for the Study of Terrorism and Political Violence (CSTPV) at the University of St Andrews. He is author of several books on terrorism issues and was co-founder of the leading international journal, Terrorism and Political Violence. Downloaded by [University of Defence] at 20:58 07 June 2016 Series: Political Violence Series Editors: Paul Wilkinson and David Rapoport This book series contains sober, thoughtful and authoritative academic accounts of terrorism and political violence.
    [Show full text]
  • Counterterrorism
    Joint Publication 3-26 Counterterrorism 13 November 2009 PREFACE 1. Scope This publication provides joint doctrine for the planning and execution of counterterrorism across the range of military operations. 2. Purpose This publication has been prepared under the direction of the Chairman of the Joint Chiefs of Staff. It sets forth joint doctrine to govern the activities and performance of the Armed Forces of the United States in joint operations and provides the doctrinal basis for interagency coordination and for US military involvement in multinational operations. It provides military guidance for the exercise of authority by combatant commanders and other joint force commanders (JFCs) and prescribes joint doctrine for operations, education, and training. It provides military guidance for use by the Armed Forces in preparing their appropriate plans. It is not the intent of this publication to restrict the authority of the JFC from organizing the force and executing the mission in a manner the JFC deems most appropriate to ensure unity of effort in the accomplishment of the overall objective. 3. Application a. Joint doctrine established in this publication applies to the Joint Staff, commanders of combatant commands, subunified commands, joint task forces, subordinate components of these commands, and the Services. b. The guidance in this publication is authoritative; as such, this doctrine will be followed except when, in the judgment of the commander, exceptional circumstances dictate otherwise. If conflicts arise between the contents of this publication and the contents of Service publications, this publication will take precedence unless the Chairman of the Joint Chiefs of Staff, normally in coordination with the other members of the Joint Chiefs of Staff, has provided more current and specific guidance.
    [Show full text]
  • A Critical Review of Hybrid Warfare: Challenges to Pakistan Introduction
    DOI: 10.31703/gmcr.2020(V-IV).06 | Vol. V, No. IV (Fall 2020) URL: http://dx.doi.org/10.31703/gmcr.2020(V-IV).06 | Pages: 72 – 90 p- ISSN: 2708-2105 e- ISSN: 2709-9458 L-ISSN: 2708-2105 Muhammad Waqas Haider * | Tahir Mahmood Azad † | Haseeb ur Rehman Warrich ‡ A Critical Review of Hybrid Warfare: Challenges to Pakistan Headings Abstract: This research paper analyses the dynamics of Hybrid Warfare to envisage its impact upon peace and conflict situation in • Introduction Pakistan. The research explores how different domains of society have • Influence of Hybrid been affected by the application of Hybrid Warfare. Furthermore, the warfare in South Asian research focuses on the existing and future challenges being faced by Region Pakistan in the domain of Hybrid Warfare. The term ‘Hybrid warfare’ • Dimensions of Hybrid has become the modern buzz-word among various circles, including threats to Pakistan media, academicians, and policy-making spheres. However, there is hardly any agreement on what this concept encompasses. Nonetheless, • Pakistan’s Internal the widespread usage of the notion in numerous circles proposes that a Security Issues Post novel form of warfare has emerged. This research argues that Pakistan 9/11 Attacks is facing multi-dimensional and multidirectional challenges where the • Conclusion dominant threat stems from Eastern neighbour, but the involvement of • Reference other state and non-actors further complicates the situation. Key Words: Hybrid Warfare, Pakistan, Challenges, Global Terrorism. Introduction The nature of wars and threats are considerably reshaped in the aftermath of the Cold War. Peter Burgess (2008) argues that in the changing dynamics of the globalized setting, instruments of military and foreign policy cannot ensure state security; instead, economic, cultural, social, moral and environmental domains also need to be interlinked to ensure state survival in the challenging security environment.
    [Show full text]
  • Space and Defense Issue
    SPACE and DEFENSE Volume Nine Number One Spring 2016 Attack on the Brain: Neurowars and Neurowarfare Armin Krishnan Volume Five Number One Brazil Space: SGDC Satellite Sum Gills Vilar Lopes mer 2011 Mexico Aerospace: The Querétaro Cluster Mónica Casalet REVIEW: Crowded Orbits Coalitions in Space:Deron Jackson Where Networks are PowerPublisher’s Corner: Space Policy’s SALT Moment Ambassadorby James Roger G. ClayHarrison Moltz The 2010 National Space Policy: Down to Earth? by Joan Johnson-Freese Space & Defense Journal of the United States Air Force Academy Eisenhower Center for Space and Defense Studies Publisher Ambassador Roger Harrison, [email protected] Inaugural Director and Co-founder, Eisenhower Center for Space and Defense Studies Editor Dr. Damon Coletta U.S. Air Force Academy, USA Associate Editors Mr. Deron Jackson Dr. Peter Hays Director, Eisenhower Center George Washington University, USA U.S. Air Force Academy, USA Ms. Jonty Kasku-Jackson National Security Space Institute, USA Dr. Schuyler Foerster U.S. Air Force Academy, USA Thank You to Our Reviewers Andrew Aldrin Joanne Gabrynowicz United Launch Alliance, USA University of Mississippi, USA James Armor Jason Healey ATK, USA Atlantic Council, USA William Barry Theresa Hitchens NASA Headquarters, USA United Nations, Switzerland Daniel Blinder Wade Huntley UNSAM-CONICET, Argentina Independent Researcher, USA Dean Cheng Ram Jakhu Heritage Foundation, USA McGill University, Canada, USA Robert Callahan Dana Johnson NORAD-NORTHCOM, USA Department of State, USA Robert Carriedo Roger Launius U.S. Air Force Academy, USA National Air and Space Museum Frans von der Dunk John Logsdon University of Nebraska, USA George Washington University, USA Paul Eckart Agnieszka Lukaszczyk Boeing, USA Secure World Foundation, Belgium Andrew Erickson Molly Macauley Naval War College, USA Resources for the Future, USA Laura Delgado Lopez Dimitrios Stroikos Secure World Foundation, USA London School of Economics, United Kingdom Adam Lowther Brent Talbot SANDS, Kirtland AFB, USA U.S.
    [Show full text]
  • 'Krym Nash': an Analysis of Modern Russian Deception Warfare
    ‘Krym Nash’: An Analysis of Modern Russian Deception Warfare ‘De Krim is van ons’ Een analyse van hedendaagse Russische wijze van oorlogvoeren – inmenging door misleiding (met een samenvatting in het Nederlands) Proefschrift ter verkrijging van de graad van doctor aan de Universiteit Utrecht op gezag van de rector magnificus, prof. dr. H.R.B.M. Kummeling, ingevolge het besluit van het college voor promoties in het openbaar te verdedigen op woensdag 16 december 2020 des middags te 12.45 uur door Albert Johan Hendrik Bouwmeester geboren op 25 mei 1962 te Enschede Promotoren: Prof. dr. B.G.J. de Graaff Prof. dr. P.A.L. Ducheine Dit proefschrift werd mede mogelijk gemaakt met financiële steun van het ministerie van Defensie. ii Table of contents Table of contents .................................................................................................. iii List of abbreviations ............................................................................................ vii Abbreviations and Acronyms ........................................................................................................................... vii Country codes .................................................................................................................................................... ix American State Codes ....................................................................................................................................... ix List of figures ......................................................................................................
    [Show full text]
  • Christio-Conjure in Voodoo Dreams, Baby of the Family, the Salt Eaters, Sassafrass, Cypress & Indigo, and Mama Day
    Louisiana State University LSU Digital Commons LSU Doctoral Dissertations Graduate School 2002 Christio-Conjure in Voodoo dreams, Baby of the family, The alts eaters, Sassafrass, Cypress & Indigo, and Mama Day Laura Sams Haynes Louisiana State University and Agricultural and Mechanical College Follow this and additional works at: https://digitalcommons.lsu.edu/gradschool_dissertations Part of the English Language and Literature Commons Recommended Citation Haynes, Laura Sams, "Christio-Conjure in Voodoo dreams, Baby of the family, The alts eaters, Sassafrass, Cypress & Indigo, and Mama Day" (2002). LSU Doctoral Dissertations. 3197. https://digitalcommons.lsu.edu/gradschool_dissertations/3197 This Dissertation is brought to you for free and open access by the Graduate School at LSU Digital Commons. It has been accepted for inclusion in LSU Doctoral Dissertations by an authorized graduate school editor of LSU Digital Commons. For more information, please [email protected]. CHRISTIO-CONJURE IN VOODOO DREAMS, BABY OF THE FAMILY, THE SALT EATERS, SASSAFRASS, CYPRESS & INDIGO, AND MAMA DAY A Dissertation Submitted to the Graduate Faculty of the Louisiana State University and Agricultural and Mechanical College in partial fulfillment of the requirements for the degree of Doctor of Philosophy in The Department of English by Laura Sams Haynes B.A., Florida State University, 1986 M.A., Clark Atlanta University, 1995 May 2002 ©Copyright 2002 Laura Sams Haynes All rights reserved ii TABLE OF CONTENTS ABSTRACT . iv CHAPTER 1 INTRODUCTION . 1 2 CHRISTIO-CONJURE AS HISTORICAL FICTION . 32 3 CHRISTIO-CONJURE AND THE GHOST STORY . 55 4 REVOLUTIONARY CHRISTIO-CONJURE . 80 5 CHRISTIO-CONJURE ACTIVISM . 102 6 CHRISTIO-CONJURE ROMANCE AND MAGIC .
    [Show full text]
  • Women in a Man's War: the Employment of Female Agents in the Special Operations Executive, 1940-1946
    Chapman University Chapman University Digital Commons War and Society (MA) Theses Dissertations and Theses Spring 5-2019 Women in a Man's War: The Employment of Female Agents in the Special Operations Executive, 1940-1946 Cameron Carlomagno Chapman University, [email protected] Follow this and additional works at: https://digitalcommons.chapman.edu/war_and_society_theses Recommended Citation Carlomagno, Cameron. Women in a Man's War: The Employment of Female Agents in the Special Operations Executive, 1940-1946. 2019. Chapman University, MA Thesis. Chapman University Digital Commons, https://doi.org/10.36837/chapman.000075 This Thesis is brought to you for free and open access by the Dissertations and Theses at Chapman University Digital Commons. It has been accepted for inclusion in War and Society (MA) Theses by an authorized administrator of Chapman University Digital Commons. For more information, please contact [email protected]. Women in a Man’s War: The Employment of Female Agents in the Special Operations Executive, 1940-1946 A Thesis by Cameron Davis Carlomagno Chapman University Orange, California Wilkinson College of Arts, Humanities, and Social Sciences Submitted in partial fulfillment of the requirements for the degree of Masters of Arts in War and Society May 2019 Committee in charge: Jennifer Keene, Ph.D., Chair Charissa Threat, Ph.D. Kathryn Statler, Ph.D. This thesis of Cameron Davis Carlomagno is approved. April 2019 Women in a Man’s War: The Employment of Female Agents in the Special Operations Executive, 1940-1946 Copyright © 2019 by Cameron Davis Carlomagno iii ACKNOWLEDGEMENTS This thesis has been the culmination of a few years of thought, research, and discussion, all of which would not have been possible without the support of my dedicated professors and friends.
    [Show full text]
  • Re-Floating the Titanic: Dealing with Social Engineering Attacks
    Re-Floating the Titanic: Dealing with Social Engineering Attacks David Harley Imperial Cancer Research Fund, London About the Author David Harley is a Security Analyst at the Imperial Cancer Research Fund, where his career path has led through administration, network/PC/Mac support, and VMS and Unix support and development. He holds a degree from the Open University embracing technology, social sciences, and computing science. His research interests currently include virus management, network security, and education and policy issues, and has authored a number of papers and presentations in these areas. He has compiled, contributed to and/or co-maintains a number of security FAQs; is a contributing editor for the SANS Network Security Digest; and is threatening to finish co-writing a book on anti-virus measures and resources any year now. Mailing Address: Administrative IT Unit, Imperial Cancer Research Fund, Lincoln’s Inn Fields, London WC2A 3PX, United Kingdom; Phone: (44) 171-269-3114; Fax: (44) 171-269-3124; WWW URL: http://webworlds.co.uk/dharley/; E-mail: [email protected] Descriptors human engineering, security policy, e-mail, masquerading, hoax, helpdesk management, net-abuse, spam, ethics, resource management Re-Floating the Titanic: Dealing with Social Engineering Attacks Abstract "Social Engineering" as a concept has moved from the social sciences and into the armouries of cyber-vandals, who have pretty much set the agenda and, arguably, the definitions. Most of the available literature focuses on social engineering in the limited context of password stealing by psychological subversion. This paper re- examines some common assumptions about what constitutes social engineering, widening the definition of the problem to include other forms of applied psychological manipulation, so as to work towards a holistic solution to a problem that is not generally explicitly recognised as a problem.
    [Show full text]
  • THE WEAPONIZATION of SOCIAL MEDIA How Social Media Can Spark Violence and What Can Be Done About It November 2019
    Corina Robbins/Mercy Corps THE WEAPONIZATION OF SOCIAL MEDIA How social media can spark violence and what can be done about it November 2019 Executive Summary Social media has emerged as a powerful tool for communication, connection, community and, unfortunately, conflict. It’s created new, highly accessible channels for spreading disinformation, sowing divisiveness and contributing to real-world harm in the form of violence, persecution and exploitation. The impact social media has on real-world communities is complex and rapidly evolving. It stretches across international borders and challenges traditional humanitarian aid, development and peacebuilding models. This new paradigm requires a new approach. Mercy Corps has partnered with Do No Digital Harm and Adapt Peacebuilding on a landscape assessment to examine how social media has been used to drive or incite violence and to lay the foundation for effective, collaborative programming and initiatives to respond quickly and help protect already fragile communities. This assessment explores how weaponized social media can contribute to offline conflict by examining real- world case studies. These examples are not exhaustive. Rather, they surface a range of concepts and implications that can help humanitarian, development and peacebuilding organizations — as well as technology companies and policymakers — understand what’s happening and develop effective responses. Case studies Information operations (IO): Coordinated disinformation campaigns are designed to disrupt decision making, erode social cohesion and delegitimize adversaries in the midst of interstate conflict. IO tactics include intelligence collection on specific targets, development of inciteful and often intentionally false narratives and systematic dissemination across social and traditional channels. The Russian government used such tactics to portray the White Helmets humanitarian organization operating in Syria as a terrorist group, which contributed to violent attacks against the organization.
    [Show full text]
  • The History and Politics of the Russian Federation: a War for Memory Or A
    351 Jolanta Darczewska PhD Centre for Eastern Studies, Warsaw, Poland THE HISTORY AND POLITICS ARTICLES OF THE RUSSIAN FEDERATION: FOR MEMORY A WAR OR A WAR AGAINST MEMORY? Abstract The term ‘wars of memory’ refers to the Russian specificity of the issues described in the West as ‘politics of history’ or the ‘politics of memory’. The historical arguments which are employed in the Russian Federation in the context of information and cultural warfare, and are identified with the war over the interpretation of history, are being used to achieve the Kremlin’s political objectives in both its domestic and external arenas: any visions which conflict with the official one are discredited as anti-Russian and falsifications of the history of Russia. This text consists of three parts. The first discusses the evolution of the problem in Russian public discourse since the collapse of the USSR; the second describes the historical-cultural standard currently operative in Russia (its pattern of assessments and historical interpretations); and the third, outlines the manifestations of the state’s involvement in implementing its specifically understood politics of memory, with particular emphasis on the role of the Russian Historical Society and Rosarkhiv. The ‘wars’ discussed in this article have become one of the systemic mechanisms for Russia’s confrontation with both the external environment and its internal opposition. The memory and historical-cultural identity as disseminated now are leading to a secondary Sovietisation of society and the mobilisation of imperial and nationalist (ethnocentric, ethnically Russian) resentments within the Russian Federation. Keywords: politics of history, politics of memory, the Russian Historical Society, Rosarkhiv, information warfare, culture wars, historical-cultural standard Institute of National Remembrance 1/2019 352 Outline of the problem he issues of historical memory, historical tradition T and identity are the subject of heated debate in all the countries formed after the breakup of the Soviet Union.
    [Show full text]
  • The Evolutionary Logic of Honoring Sunk Costs
    The Evolutionary Logic of Honoring Sunk Costs Mukesh Eswaran and Hugh M. Neary University of British Columbia September 8, 2013 Abstract Though economics claims that sunk costs should not figure in current decision- making, there is ample evidence to suggest that people squander resources by honoring bygones. We argue that such wastage of resources was tolerated in our evolutionary past by Nature because it served fitness-enhancing functions. In this paper, we propose and model two such functions: the first in a non-strategic setting and the second in a strategic one. In the former, we demonstrate how the honoring of sunk costs could have arisen as a commitment device that Nature found expedient when the emotional and rational centers of the brain conflict over temptations that may sabotage long-term investments. By applying this idea to the self-concept, we argue that this model provides a rationale for cognitive dissonance, a well-established phenomenon in social psychology. The strategic reason we offer for the salience of sunk costs is that it provides the producers of goods an edge in contests over their output with potential interlopers. In either scenario, we show that Nature would have hardwired a concern for bygones. JEL: D01, D03 Acknowledgements: We would like to thank participants of the Economic The- ory Workshop at the University of British Columbia for useful comments. We also gratefully acknowledge SSHRC for grant support. Corresponding Author: Mukesh Eswaran. E-mail: [email protected] Tel: 604-822-4921 Fax: 604-822-5915. 1 1 Introduction Economists claim that sunk costs should not figure in current decision-making since, by definition, these expenditures cannot be retrieved and therefore should be treated as bygones.
    [Show full text]