Sep 14, 2023 05:56 PM
https://www.eurekalert.org/news-releases/1001171
INTRO: When people feel that their resources are scarce – that they don’t have enough money or time to meet their needs – they often make decisions that favor short-term gains over long-term benefits. Because of that, researchers have argued that scarcity pushes people to make myopic, impulsive decisions. But a study published by the American Psychological Association provides support for a different, less widely held view: People experiencing scarcity make reasonable decisions based on their circumstances, and only prioritize short-term benefits over long-term gains when scarcity threatens their more immediate needs.
“This research challenges the predominant view that when people feel poor or live in poverty, they become impatient and shortsighted and can’t or don’t think about the future,” said study co-author Eesha Sharma, Ph.D., of San Diego State University. “It provides a framework, instead, for understanding that when people are experiencing financial scarcity, they’re trying to make the best decision they can, given the circumstances they’re in.”
The research was published in the Journal of Personality and Social Psychology... (MORE - details, no ads)
INTRO: When people feel that their resources are scarce – that they don’t have enough money or time to meet their needs – they often make decisions that favor short-term gains over long-term benefits. Because of that, researchers have argued that scarcity pushes people to make myopic, impulsive decisions. But a study published by the American Psychological Association provides support for a different, less widely held view: People experiencing scarcity make reasonable decisions based on their circumstances, and only prioritize short-term benefits over long-term gains when scarcity threatens their more immediate needs.
“This research challenges the predominant view that when people feel poor or live in poverty, they become impatient and shortsighted and can’t or don’t think about the future,” said study co-author Eesha Sharma, Ph.D., of San Diego State University. “It provides a framework, instead, for understanding that when people are experiencing financial scarcity, they’re trying to make the best decision they can, given the circumstances they’re in.”
The research was published in the Journal of Personality and Social Psychology... (MORE - details, no ads)