Money Can Buy Happiness: Experienced well-being rises with income, even above $75,000 per year

https://www.pnas.org/content/118/4/e2016976118

Significance

Past research has found that experienced well-being does not increase above incomes of $75,000/y. This finding has been the focus of substantial attention from researchers and the general public, yet is based on a dataset with a measure of experienced well-being that may or may not be indicative of actual emotional experience (retrospective, dichotomous reports). Here, over one million real-time reports of experienced well-being from a large US sample show evidence that experienced well-being rises linearly with log income, with an equally steep slope above $80,000 as below it. This suggests that higher incomes may still have potential to improve people’s day-to-day well-being, rather than having already reached a plateau for many people in wealthy countries.

Abstract

What is the relationship between money and well-being? Research distinguishes between two forms of well-being: people’s feelings during the moments of life (experienced well-being) and people’s evaluation of their lives when they pause and reflect (evaluative well-being). Drawing on 1,725,994 experience-sampling reports from 33,391 employed US adults, the present results show that both experienced and evaluative well-being increased linearly with log(income), with an equally steep slope for higher earners as for lower earners. There was no evidence for an experienced well-being plateau above $75,000/y, contrary to some influential past research. There was also no evidence of an income threshold at which experienced and evaluative well-being diverged, suggesting that higher incomes are associated with both feeling better day-to-day and being more satisfied with life overall.

Does earning more money lead to greater well-being? This is one of the most enduring questions in the science of human well-being, with relevance to individuals making trade-offs between income and other life goals, employers determining wages for employees, and institutions influencing economic policy. Although an abundance of research suggests a positive relationship between income and well-being in general, at least two important and interrelated questions remain about the nature of this relationship. A first question concerns the shape of the relationship between income and well-being across income levels: Does income stop mattering above some modest threshold, or is higher income associated with greater well-being across a wide range of income levels? A second question concerns the degree to which income specifically affects certain aspects of well-being: Does income primarily affect people’s evaluations of their lives [ … ]

The post Money Can Buy Happiness: Experienced well-being rises with income, even above $75,000 per year appeared first on NewsCetera.

Click this link for the original source of this article.
Author: hokey pokey


This content is courtesy of, and owned and copyrighted by, https://newscetera.com and its author. This content is made available by use of the public RSS feed offered by the host site and is used for educational purposes only. If you are the author or represent the host site and would like this content removed now and in the future, please contact USSANews.com using the email address in the Contact page found in the website menu.

Visit our Discussion Forum at Libertati.com.

Follow us:
WP Twitter Auto Publish Powered By : XYZScripts.com