Scarcity mindset vs. Abundance mindset origins and research validation

Scarcity mindset versus Abundance mindset, as popularized by Stephen Covey, originated from his book 'The Seven Habits of Highly Effective People.' Covey defines scarcity mentality as seeing life as a finite pie, a zero-sum game where one's gain is seen as another's loss. In contrast, abundance mentality focuses on cooperation and the belief that there is plenty for everyone. The term scarcity mindset also stems from behavioral economists Sendhil Mullainathan and Eldar Shafir, who researched the consequences of actual scarcity, presenting it as a mindset that alters decision-making. Research, including empirical audits, has validated the impact of scarcity on behavior, particularly in financial decision-making scenarios.