Money Really Can’t Buy Happiness, Study Finds

FRIDAY, June 22 (HealthDay News) — Contrary to popular belief,
happiness in life has more to do with respect and influence than status or
wealth, according to a new study.

Researchers said one possible reason money doesn’t buy happiness is
that people may get used to their higher income, but they never tire of
being admired by others.

The study recently appeared online in Psychological Science.

“We got interested in this idea because there is abundant evidence that
higher socioeconomic status — higher income or wealth, higher
education — does not boost subjective well-being (or happiness) much at
all. Yet at the same time, many theories suggest that higher status should
boost happiness,” said Cameron Anderson, a psychological scientist at the
Haas School of Business at the University of California, Berkeley, in a
journal news release.

The study’s authors said the respect people receive from their peers,
such as friends, neighbors or teammates, has more to do with happiness
than money. “Having high standing in your local ladder leads to receiving
more respect, having more influence, and being more integrated into the
group’s social fabric,” Anderson said.

The researchers put their idea to the test in a series of studies.
First, they surveyed 80 college students from 12 groups on campus. The
amount of respect the students received from their peers, known as their
sociometric status, was calculated based on peer ratings, self-reports and
the number of leadership positions the students held. The researchers also
took into account the students’ household income and asked them about
their social well-being. They found the admiration the students received
from their peers predicted their social well-being. Their wealth or income
did not.

When the researchers expanded the group of participants in another
study, they saw similar results.

In a final study, the researchers followed graduate students in
business school. They found the MBA students’ social well-being was tied
to changes in the admiration they felt from their peers before and after
graduation. They noted respect had more to do with the student’s
well-being after graduation than how much money they made.

“I was surprised at how fluid these effects were — if someone’s
standing in their local ladder went up or down, so did their happiness,
even over the course of nine months,” Anderson said.

“One of the reasons why money doesn’t buy happiness is that people
quickly adapt to the new level of income or wealth. Lottery winners, for
example, are initially happy but then return to their original level of
happiness quickly,” he concluded. “It’s possible that being respected,
having influence and being socially integrated just never gets old.”

More information

The American Psychological Association has more about the origins of happiness.

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