Communicating Resource Scarcity
The development and maintenance of interpersonal relationships require investments of both money and time—resources that are often limited in supply, but in great demand. Indeed, consumers are regularly asked to dedicate their money and time to social engagements, and need to manage these resources efficiently. Therefore, consumers often choose to cite insufficient time or money as an excuse for rejecting social invitations. But how does using the excuse of financial versus time scarcity influence interpersonal relationships? Across eight experiments, we demonstrate that using financial scarcity as an excuse (e.g., “I don’t have money”) increases perceptions of interpersonal closeness and helping behavior compared to using time scarcity as an excuse (e.g., “I don’t have time”). This effect is explained by the fact that time is perceived as a more personally controllable resource than money, resulting in consumers who cite financial (vs. temporal) constraints as being perceived as more trustworthy. However, excuse-givers do not correctly predict this difference in interpersonal outcomes. These findings advance our theoretical understanding of how excuses revolving around resource constraints affect interpersonal perceptions and behaviors and provides practical insights for consumers desiring to minimize social repercussions when turning down social invitations.
Keywords: communication; interpersonal relationships; money; time;
Citation:
Donnelly, Grant E., Anne Wilson, A.V. Whillans, and Michael I. Norton. "Communicating Resource Scarcity." Harvard Business School Working Paper, No. 19-066, January 2019. View Details