Scarcity mindset/Tunnelling

Scarcity Mindset

People have a set amount of mental bandwidth (brainpower) to deal with everything life throws at them. When someone is living in scarcity, especially economic scarcity, they devote a big chunk of their bandwidth to surviving the scarcity. They tend to tunnel on only their immediate and most important needs, so they can miss long-term benefits or opportunities in front of them.

Applications

• A single parent is working two part-time jobs and raising their children. They are focused on coordinating their work schedule, nurturing their children, and paying their bills on time, so they forget their monthly appointment for their HIV medication and run out.

• A person gets sick, misses work, and doesn’t get their normal paycheck. They take out a payday loan with a very high-interest rate because they need to pay rent and provide food for their family.