StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Wealth and Happiness - Essay Example

Comments (0) Cite this document
Summary
Wealth and Happiness.
Economists have long been studying the relation between money and happiness. A number of theories have been put across in literature to explain this relation. …
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER94.9% of users find it useful
Wealth and Happiness
Read TextPreview

Extract of sample "Wealth and Happiness"

Economists have long been studying the relation between money and happiness. A number of theories have been put across in literature to explain this relation. The most widely discussed theory is of relative income which states that an individual's value for money is relative to income of its peers. This theory suggests that people realize happiness by having more money relative to others in their reference groups. On the contrary, the theory of absolute utility advocates that increased income allows a more real purchasing power to fulfill needs which brings joy. However, some economists propose that the cheerfulness that money brings is temporary as with time individuals fast adapt to this increased income. For instance the new car, bigger house etc bought by increased income soon becomes old and no longer gives the feeling of happiness. A number of quantitative and qualitative studies have been done by economists to prove these theories and find a relation between happiness and money. There have been mixed results. While some have found proofs for these theories, others have found small effects of income on happiness and some have simply not found any correlation between happiness and material wealth. (Hagerty & Veenhoven, 2003)
Although there is an overwhelming literature to support the opinion that money buys temporary happiness, the connection between money and happiness is a complex one. Happiness is the feeling of satisfaction which arises when the value of something has been realized. For some this value can be achieved by individual efforts like completing an educational degree, spending leisure time with friends and family, promotion, sexual satisfaction and good health while for others it can be realized with money like increased public expenditure, investment in some social security, buying a new car and the like. Also more money probably would not make a difference to the prosperous ones. Studies also suggest that genes play an important role in determining happiness. (Herper, 2004) Essentially this means that happiness is not a zero-sum game. While money does bring in happiness by increased status, extra purchasing power and added protection in case of negative circumstances, any kind of other step up in life can also make a person glad. For most, however, this sudden initial feeling of pleasure wears off with time and does not translate in long term contentment. Long lasting pleasure can only be achieved by striving for continuous improvements which gives way to the notion of pursuit of wealth.
The notion of pursuit of wealth cannot be dispelled as good or bad. Everyone has to make money in order to survive and in order to sustain their families. However, in the haste of making more money, many sacrifice their mental peace and become isolated and depressed. The desire for more doesn't make good sense if it becomes addictive. There is no end to an individual's wants and the opportunities of new struggles to fulfill them. Unfortunately, there is a cost for pursuing wealth and that is having less time for family, friends, hobbies and community service. Moreover one doesn't get time to appreciate their achievements, enjoy their riches and feel happy. However there are certain positives of pursuit of wealth. A man's search of wealth has deflected his energies away from socially harmful elements like religious fights. The energies are dedicated to much more productive works like technological inventions and innovations which have added to the overall security, well being and ease in lives of people all over the world. (Lee, 2005) To sum up, while money may not make an individual happy or unhappy, better or worse, but it is said that being happy would help him make more money. (Herper, 2004)
References
Ackman, D. (2004). Putting A Price on Happiness. Forbes. Retrieved on May 31, 2008 from http://www.forbes.com/sciencesandmedicine/2004/09/20/cx_da_0920happiness.html
Lee, D.R. (2005) Who Says Money Cannot Buy Happiness The Independent Review, 10(3), pp. 385-400
Hagerty, M.R., & Veenhoven, R. (2003) Wealth and Happiness revisited: Growing wealth of nations does go with greater happiness. Social Indicators Research. 64. Retrieved on May 31, 2008 from http://www2.eur.nl/fsw/research/veenhoven/Pub2000s/2003e-full.pdf
Herper, M (2004) Money Won't Buy You Happiness. Forbes. Retrieved on May 31, 2008 from http://www.forbes.com/2004/09/21/cx_mh_0921happiness.html
Smith, T. (-) Money Can Buy Happiness, Reason Papers, University of Texas. 26(7) Retrieved on May 31, 2008 from http://www.reasonpapers.com/pdf/26/rp_26_1.pdf Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Wealth and Happiness Essay Example | Topics and Well Written Essays - 500 words”, n.d.)
Retrieved from https://studentshare.org/miscellaneous/1502188-wealth-and-happiness
(Wealth and Happiness Essay Example | Topics and Well Written Essays - 500 Words)
https://studentshare.org/miscellaneous/1502188-wealth-and-happiness.
“Wealth and Happiness Essay Example | Topics and Well Written Essays - 500 Words”, n.d. https://studentshare.org/miscellaneous/1502188-wealth-and-happiness.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Wealth and Happiness

Happiness

...? submitted) Happiness In a war stricken zone of Iran where disorders and economic hardships are normal phenomena, families find their children as their positive source of happiness. Children are highly valued which gives parents the pleasure and satisfaction. But this does not mean that having children entails happiness to all. Being happy means, individual has to meet the physiological and psychosocial needs to reach self actualization, be contented in life and accept one’s destiny in life. Life is not perfect as evident by many challenges individuals meet in their life. These challenges include the satisfaction of physiological needs, safety, love, and self esteem. All of which serves as the motivation for the individual to strive...
2 Pages(500 words)Essay

Econimic Wealth and Happiness

...attainment of happiness and healthy existence. Economic wealth is defined as the great quantity of precious resources or possessions of material nature or the power over such possessions. On that account, many people have come with various claims linking economic wealth and happiness. Therefore, this report attempts to expand on the claims which some say also leads to healthier living (Henslin 2007, p. 105). Similarly, the discussion delves into different aspects generating economic wealth and how it translates to happy and healthier living. Furthermore, the paper explores the effective utilization of public finance in various sectors of...
5 Pages(1250 words)Essay

Health, Wealth, and Happiness: Financial Resources Buffer Subjective Well-Being after the Onset of a Disability

... a decline in health. Researchers who started to examine the relationship between objective measures of wealth and happiness found a weak relationship and a trivial contribution of economic status to subjective well-being (SWB) (Smith, Langa, Kabeto & Ubel, 2005, 663). Wealth can promote health but not happiness due to the possibility that wealth only becomes important to individuals when faced with difficult life circumstances such as experiencing a decline in health. Wealth could minimize the negative impact of a decline in health on well-being by acting as a psychological buffer. In line with this, the researchers tested the prediction that wealth buffers SWB after the onset of a disability and predicted that people above the median...
3 Pages(750 words)Article

Happiness. Pursuit of Happiness

... Happiness Every person in society would like to have a good life. As such, pleasure is part of good and virtuous life; pleasure is part of human life since it leads to happiness. In my perception of happiness, I can associate happiness with hunger. In this sense, hunger in life is the natural condition of man and driven by human fight or struggle. Therefore, I argue that happiness is the central core of living, which depends entirely on cultivation of virtues. Playing the mean is the way of cultivating virtues that includes moral virtues for the attainment of individual happiness. Playing the mean is the virtue between two extreme excesses and deficiency. For instance, exercising the act of justice in getting too little or getting too...
6 Pages(1500 words)Essay

To what extent does wealth equate with happiness

...?Extent to which Wealth Equates with Happiness Introduction In this modern society, people have always associated happiness with the amount of money earned. Many people think that those who earn more money are generally happier. According to some economists, this is true but others have refuted the claim suggesting that there are other factors to consider (Roberts, 2011). Therefore, the same question still persists, can money buy happiness? This paper will seek views from different authors, researchers, and economists showing whether more wealth brings more happiness to individuals. According to Penec, economists have started to consider other factors besides the gross domestic product when examining happiness. This was considered after...
3 Pages(750 words)Essay

Happiness

...?Happiness The most significant factors that determine the happiness of an individual is his/her tendency to be thankful to God for whatever he/she has, and his/her tendency to do social service. Happiness is an emotional state that comes as a reward of having some goal accomplished or achieving something in life. As different people vary in their perceptions, preferences, and goals, the causes of happiness and the extent to which one feels happy varies from one person to another. However, generally speaking, if an individual possesses too much compared to others, but is narrow-sighted and thankless, he/she is likely to be much more unhappy as compared to others that have much lesser than him/her. People commonly associate happiness...
2 Pages(500 words)Essay

Wealth distribution. Wealth tax and estate planning

...Yvonne Marie Leyson Academia.com Wealth Tax and E Planning 16 April 2006 Riches are accumulated at a rate faster than the affluent can normally spend yet it is being held and proportioned among themselves while the gap between wealthy and the needy visibly widens. In a study of disposable weekly income by the ONS, the richest 10% of have at least 658 per week (after deductions), compared with the poorest 10%. Twenty-three percent of the nation's total riches is owned the by richest 1% group. Intangible wealth is left to the hands of its owner to amass and enjoy during his lifetime free from any liens and encumbrance. With the current budget crisis, tax imposition and structure on intangible wealth would surely correct the scenario...
6 Pages(1500 words)Essay

Happiness

... Happiness Even the ancient Greeks were aware that the ultimate pursuit in life is the pursuit of happiness. According to Aristotle, almost all of our other pursuits in life are with the ultimate goal of finding happiness while happiness emerges as the end goal in itself (cited in Bolt, 2004: 117). The reason it is so difficult to find is that no one really has a clear sense of what happiness is or how to achieve it. Studies have shown that this is both because we have a very inexact idea of what happiness is and because our ‘happiness’ level is constantly readjusted based on our previous experiences. In addition, the modern world fills our heads full of numerous distractions, many of which claim happiness can only be achieved after one...
6 Pages(1500 words)Research Paper

Happiness

... Happiness Happiness can simply be defined as anything that makes you feel good. Even though there are alot of things that make me happy, I believe it is the feeling of being loved by my friends and family, and people in general, that makes me feel the happiest. I also have a strange relationship with soccer and I must admit that watching soccer does bring a pleasant smile on to my face, making me enjoy the moment to the max. When I’m mentioning the list of things that make me happy, travelling is one thing that I cannot overlook. I have always loved exploring new places and getting to come across different cultures and traditions. Travelling allows me to do all this alongside giving me mental peace, which I require every now...
1 Pages(250 words)Assignment

Happiness

... Happiness From a sociological point of view, many people have attached material satisfaction as the primary source of happiness. Most of us think that purchasing a new car will result into more happiness than it is to own a new pen. Considering a family setup, most women would be more than delighted to own a newly furnished kitchen. Similarly, issues that cause sadness such as setbacks in life or even death have also been given material values depending on the loss incurred. This is a wrong perception since people with low income levels do enjoy happiness too. In addition, the wealthy class in the society is not always happy despite the fact that they are economically well-off. Therefore, happiness does not depend on money and people...
4 Pages(1000 words)Essay

How Finance Managers Can Contribute to the Maximization of Shareholder Wealth

...Critically assess how finance managers can, in practice, contribute to the maximization of shareholder wealth The relationship between the corporate management and the shareholders’ wealth is close. More specifically, the decisions taken by the corporate managers have an extensive influence on the level of share prices while on the long term the level of the firm’s equity can be also differentiated. As of the first issue, the study of LeRoy et al. (1981) and Shiller (1981) showed that the decisions of the corporate managers regarding the level of stock prices can affect the level of dividends distributed to shareholders alternating the shareholder value. Moreover, in accordance with the above two researchers ‘under the assumption...
8 Pages(2000 words)Assignment

What Might the Happiness and Mental Well-Being of a Society Tell

... own personal nature and varies according to his needs. Some people get happy when they are having immense power while some get happy when they are living in a society which supports equality. The factors of happiness can vary according to the experience one individual has to go through or it can be hereditary too (Layard). With the increasing time the factors of happiness have changed through out the world. Even if a person is wealthy it is not necessary that he would be happy and would have a good life. If he is wealthy he may have to go through other problems which would destroy the happiness in his society. In the previous years it is seen the living standard in the western countries has increased and so has the level of wealth...
9 Pages(2250 words)Coursework

Shareholders Wealth Maximization

In this write up an effort is made to analyze factors that matter in affecting the after-tax profitability of an entity in its pursuit to maximizing shareholders’ wealth.
The objectives of financial management are many and profit maximization on way to shareholders’ wealth maximization is one of those objectives, but this object is certainly the most important of all objects. Profits are required by companies to cover the costs of operation and on to earn profits. In to pursue the enhancement of profitability, the financial management of the corporation develops certain other important objectives like the arrangement of financial resources, effective utilization of procured finances in the shape of investments and...
6 Pages(1500 words)Case Study

Measurement of Happiness

..., radio, songs and the Internet encourage people to define themselves in what they consume. This is demonstrated in the emphasis of media coverage on wealth, opulence, the big house and the big cars. With these trappings of success, wrote Sparks and Tulloch (2000), the readers and audiences of the media are encouraged to believe, comes happiness. (p. 106) The mantra, “looking good, feeling great” also underscores this preoccupation in the media. People are encouraged to wear fashionable clothes, trendy accessories, the right kind of makeup, food to eat, exercise and place to go and live because these factors are supposed to what give people satisfaction and gratification equated with modern happiness. This is the reason why today, happiness...
6 Pages(1500 words)Coursework

The Link between the Current Account and Changes in a Countrys Net Foreign Wealth

...Discuss the Link between the Current Account and Changes in a Country’s Net Foreign Wealth Essentially the traditional balance of payment is Change in Net Foreign Asset = Current Account Net Foreign wealth or Net Foreign Asset is the exposure of a country in terms of its liability. Simply put, Net Foreign Asset is the total current value of its offshore asset less the current value of other countries’ asset within its borders. And, Current Account is the sum of Balance of Trade, net Factor Income and net Transfer Payments. Balance of Trade, in the meantime, is the total current value of exported goods and service less the total value of imported goods and services. Factor Income is the return or income of a particular asset an example...
6 Pages(1500 words)Term Paper

National Income vs Gross National Happiness

... Happiness as an Answer to the Easterlin Paradox?’ [PDF]. Available at http://129.3.20.41/eps/mac/papers/0504/0504027.pdf (Access: April 05, 2011). Wenzel, T. (2009). Beyond GDP - Measuring the Wealth of Nations. Germany: GRIN Publishers. Zencey, E. (August 9, 2009). ‘G.D.P. R.I.P.’ The New York Times [Online]. Available at http://www.nytimes.com/2009/08/10/opinion/10zencey.html?_r=1 (Accessed: April 5, 2011)....

GDP is essentially a flow measure that takes into account only productive activities though measures are adopted to avoid double counting; transfer of financial assets between hands is ignored while estimating the same (Wenzel, 2009, p. 11). In other words, only those goods...

7 Pages(1750 words)Essay

Happiness and Its Pursuit in Modern Society

.... This leads to unhappiness. This is an economic view of the matter. In an alternate view on the entire matter, Andrew Oswald argues that even an excess of wealth in many situations cannot lead to happiness. It may; however, it also may not. He talks of the need to create different parameters for the evaluation of happiness among the people of a country. Among these parameters, he includes the independence that a job brings in the lives of the women of a nation. Such happiness may not be related to a corresponding increase in the income but the abstract happiness that is gained by the feeling of independence that they gain through performing a task that is productive for themselves and the society (Oswald). The contrasting opinions...
6 Pages(1500 words)Essay

A Small Country that Fosters the Greatest Happiness for the Greatest Number of People

...A Small Country That Fosters the Greatest Happiness for the Greatest Number of People + Submitted ASmall Country That Fosters the Greatest Happiness for the Greatest Number of People Abstract Happiness entails rising above the political agenda of a given country. It is a question of how well a country perform in fostering great happiness for a large number of its citizens and even the citizens of other states that are linked to it either directly or indirectly (Kahneman, Diener & Schwarz, 2003). The primary measure of the happiness of a country is the standards of living of the citizens of the country in question. This is narrowed down to cover aspects such as the ideologies, resources, healthcare, business practices, and family...
11 Pages(2750 words)Term Paper

A Small Country Fostering Greatest Happiness to People

...A Small Country Fostering Greatest Happiness to People Every country has the desire to develop an ideal society that can be achieved by designing a country with the greatest happiness among the people. Different national interests should be accomplished in order to create an ideal society. An effectual urban design can only be accomplished if there is a good system of the government, good organization, having entertainment and advanced urban design. The mentioned factors create happiness amongst people and good leadership in the country. In most countries, there is always an extreme inequality between the rich and poor where the poor people can be safeguarded through creating impartial and legitimate policies. A Small Country Fostering...
7 Pages(1750 words)Term Paper

The Distribution of Wealth

... Research Paper The Distribution of Wealth Wealth is the total of all the assets an individual owns including houses, savedpension, and money in bank accounts, minus debts. It can be self-accumulated from one’s income and personal savings, or it can be inherited. National records, however, show the income of individuals, and not the real time wealth they own. For a long time, wealth distribution data was obtained from property taxes paid and the lists of wealthy people from sources like Forbes Magazine. Recently, economists Gabriel Zucman and Emmanuel Saez have devoted time and effort to compile and analyze income and wealth data, and their work is the source of most data on wealth inequality. Income inequality is the difference between...
7 Pages(1750 words)Research Paper
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Wealth and Happiness for FREE!

Contact Us