Imagine an x-axis, a horizontal line, that line represents certainty, and the further to

the right that you move along that line, the higher your certainty is.

Now imagine a y-axis, a vertical line.

The further up you go, the more control you have over a given situation.

There are some situations for which we have a high degree of control, but a very low amount

of certainty, like when we're starting a business.

There are other situations in which we have a high amount of certainty, but a very low

degree of control, like a very secure job with a stable company.

Then there are the times that were in our total comfort zone, high certainty and high control,

and there are times when we are panicking and feeling really terrible, at our most vulnerable,

and that's when we have low certainty and low control.

Now this framework comes from an economics professor named Peter Atwater, who just wrote

a brilliant book called The Confidence Map, and we are going to be speaking with Professor

Atwater in today's episode.

Welcome to the Afford Anything Podcast, the show that understands that you can afford

anything.

You just can't afford everything.

Every choice that you make carries with it a trade-off, and that doesn't just apply

to your money, that applies to your time, your focus, your attention to any limited resource

that you need to manage.

So how do you get better at resource management and at capital allocation?

How do you choose to distribute limited means across seemingly unlimited options?

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