Scarcity: Why Having Too Little Means So Much

Scarcity explores how the experience of having less than you need—whether it be time, money, or other resources—shapes your thinking and behavior. The authors argue that scarcity captures the mind, leading to a focus on immediate needs at the expense of long-term planning.

The book draws on psychology, behavioral economics, and real-world experiments to explain how scarcity creates a 'bandwidth tax' that reduces cognitive capacity. This scarcity mindset can trap people in cycles of poverty, stress, and poor decision-making.

Mullainathan and Shafir also discuss practical interventions and policy implications to help individuals and societies manage scarcity more effectively. They emphasize that understanding scarcity is crucial for designing better social programs and improving personal well-being.