The Scarcity Mindset When we deal with basic survival issues—such as a lack of food—it consumes far more cognitive resources than we realize. As a result, the "bandwidth" available for long-term planning and investment decisions is depleted, leading to a temporary decline in IQ and willpower. In psychology, this mental state is known as the "scarcity mindset." In contrast, because the wealthy face less anxiety over survival, they remain unfazed by short-term market fluctuations and can invest in high-risk, high-reward opportunities. This isn't a matter of the rich being inherently "smarter"; it is a structural advantage born from having mental margin. These facts suggest that good investing might actually require "time spent doing nothing." This is because spotting new opportunities and reading the market requires mental white space. An overly busy life robs us of this margin, closing the gaps where new ideas are born and preventing a long-term perspective from taking root.