Economics & Finance / Economic Theory / Behavioral Economics

Why Kenyan Boda Riders Stop Working Once They Hit Their Daily Cash Target

In the dusty roads of western Kenya, 257 bicycle taxi drivers reveal a shocking truth about self-employment: they don't work to maximize income, they work to meet a daily cash need. Once that need is met—whether for school fees, bike repairs, or medical bills—they stop, even if wages are high. This study, led by researchers using daily diaries and a lottery experiment, uncovers how these workers use 'personal rules' to fight laziness and fatigue. But here's the twist: this strategy actually costs them money and hurts their health. Education changes everything—educated drivers are more flexible, earning more by ignoring the mental target. Discover why your brain might be sabotaging your income and how to break free from the 'enough for today' trap.