cut your losses abandon an enterprise or course of action that is clearly going to be unprofitable or unsuccessful before you suffer too much loss or harm.

☞ The sense of cut here is probably 'sever yourself from' rather than 'reduce in size'.

2012New York Times Private, for-profit medicine has failed. When will we cut our losses and admit that the socialized or nationalized delivery systems that the rest of the modern world uses work far better by just about any measure?