overinvestment
- noun
- /ˌoʊvərɪnˈvɛstmənt/
- The following numerical example illustrates the overinvestment incentive and the beneficial effect of earlier m-time priority.
Examples
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This is efficient to the extent that it deters the debtor from borrowing to invest in high-risk and unprofitable projects, or to fund expenditures that benefit management at the expense of investors (the problem of "overinvestment").
Academic text (2017) -
It mitigates the debt overhang problem created by earlier-in-time priority, but it does not resolve the fundamental trade-off that we described earlier because it exacerbates the overinvestment problem.
Academic text (2017) -
Her overinvestment in the project made her overlook critical flaws, leading to its eventual failure.
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The coach warned the athletes against emotional overinvestment in their performance to avoid disappointment.
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Many individuals experience overinvestment in relationships, which can result in distress when the other person does not reciprocate their feelings.
Synonyms
Believing someone or something too much causes mistakes
Promising or taking on more work than you can manage
How Committed
Surface Forms
Morphology
overinvestment = investment (semi-transparent) = over + invest + ment
The meaning is built from 'over-' plus 'investment', but the emotional or personal sense is a metaphorical extension rather than the most literal financial interpretation.
Etymology
Overinvestment comes from over- meaning 'too much' and invest meaning 'to put money, time, or feeling into something'. So overinvestment in a person or project is putting too much of yourself into it, which helps explain why it can cause stress or poor choices.