If Money Doesnstrongtstrong Make You Happy Then You Probably Arenstrongtstrong.pdf

If Money Doesnt Make You Happy Then You Probably Arent Spending It Right Elizabeth W. Dunn University of British Columbia Daniel T. Gilbert Harvard University Timothy D. Wilson University of Virginia Abstract The relationship between money and happiness is surprisingly weak, which may stem in part from the way people spend it. Drawing on empirical research, we propose eight principles designed to help consumers get more happiness for their money. Specifically, we suggest that consumers should (1) buy more experiences and fewer material goods; (2) use their money to benefit others rather than themselves; (3) buy many small pleasures rather than fewer large ones; (4) eschew extended warranties and other forms of overpriced insurance; (5) delay consumption; (6) consider how peripheral features of their purchases may affect their day-to-day lives; (7) beware of comparison shopping; and (8) pay close attention to the happiness of others. Scientists have studied the relationship between money and happiness for decades and their conclusion is clear: Money buys happiness, but it buys less than most people think (Aknin, Norton, Dunn, 2009; Diener Biswas-Diener, 2002; Frey Stutzer, 2000). The correlation between income and happiness is positive but modest, and this fact should puzzle us more than it does. After all, money allows people to do what they please, so shouldn’t they be pleased when they spend it? Why doesn’t a whole lot more money make us a whole lot more happy? One answer to this question is that the things that bring happiness simply aren’t for sale. This sentiment is lovely, popular, and almost certainly wrong. Money allows people to live longer and healthier lives, to buffer