Did you know that money does buy happiness, but only up until the national average wage?
Princeton University and the Gallup organisation interviewed 450,000 American citizens to determine if “money buys happiness”.
They found that money improves emotional well-being and life evaluation, but only until just above the average household income.
Beyond this point, more money doesn’t improve emotional well-being, although life evaluation continues to rise.
Having a University degree is associated with high life evaluation, but high stress levels.
Smoking is strongly associated with low well-being.
The 2013 World Happiness report shows that Australia ranks 10th in the world, narrowly behind Scandinavian/European countries and Canada. NZ was 13th, USA 17th and UK 22nd, while Indonesia was 76th.
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Background
Emotional well-being refers to the frequency and intensity of experiences of joy, fascination, anxiety, sadness, anger and affection.
Life evaluation refers to a person’s thoughts about his/her life.
Materials and Methods
The authors from Princeton University (New Jersey) analysed questionnaires conducted by the Gallup organisation on 450,000 American citizens (~1000 per day between January and December 2009).
Results
Most people surveyed were happy and satisfied with their lives (85%).
Less than half reported feelings of sadness (24%) and stress (39%).
Americans rank 5th in the world for happiness and stress, but only 33rd for smiling.
Having a University degree is associated with high life evaluation, but high stress levels.
Religion is associated with positive feelings, low stress, but no effect on sadness or worry.
Females report slightly higher positive feelings, but also more sadness and stress than men (perhaps just more emotional all round).
Older people enjoy greater well-being, reduced stress and anger.
Smoking is strongly associated with low well-being.
People with low income experience lower emotional well-being than high income earners.
However, when the income goes above average wage, there is no further increase in well-being (i.e. plateaus).
Life evaluation continues to rise with income (i.e. doesn’t plateau).
Discussion
Money improves emotional well-being and life evaluation, but up to a point (just above average US household income). Beyond this point, more money doesn’t improve emotional well-being, although it does continue to improve life evaluation.
Article
High income improves evaluation of life but not emotional well-being
Kahneman and Deaton, 2014 Proc. Natl. Acad. Sci. USA. 107:16489-93
Keywords
Emotion, well-being, welfare, human, population, anthropology, USA, America, happiness, sadness, stress, questionnaire, income, wage, salary
Subject
Science, Psychology