The mental strain of poverty increases the risk of making costly mistakes.
Understanding psychology may be key to addressing the problem
Fifteen of America’s top thinkers offer their ideas for how America can grow faster, stay safer, and work better
If you’re driving and see a red light ahead, you hit the brakes. That’s an example of automaticity, or an automatic response you have to a familiar situation.
People often assume that the poor are less competent than the wealthy. But my colleagues and I have recently found that the poor outperform the rich at some financial decisions. Under poverty, people develop a unique expertise.