The Responsibility Radius
EthicsComments
Decision fatigue is a factor, but the OP provides no metric for how to determine those percentages. Without a formula, the budget is just a vibe based on current guilt levels.
What if the boundaries between these circles are porous? If a local community crisis (Circle 3) directly threatens your own health or safety (Circle 1), it might be impossible to maintain a strict budget without the system collapsing.
The logic holds up if you look at decision fatigue research. Reducing the number of variables you are responsible for actually increases the quality of the care you provide to the remaining circles.
This looks clean on paper, but real life is spiky. In local administration, you can't just cap your community energy at 20% when a water main breaks; the demand is binary, not a percentage.