A study of 22 lottery winners showed that their levels of happiness did not increase significantly after winning, with some even becoming unhappier. This is due to hedonic adaptation, which causes us to adapt to new situations and maintain a stable emotional equilibrium. Similarly, individuals who suffered accidents resulting in paralysis also reported levels of happiness approaching their original baseline. Managing large sums of money, social isolation, and a potential increase in mean behavior are other reasons why winning the lottery may not bring long-term happiness. However, spending money on experiences and other people has been shown to increase happiness.
Key Insights:
- Winning the lottery does not guarantee long-term happiness.
- Studies show that after winning the lottery, levels of happiness do not significantly increase.
- Hedonic adaptation or the hedonic treadmill is the phenomenon that explains our tendency to adapt to new situations and maintain a stable emotional equilibrium.
- We have a base level of happiness that stays constant throughout our existence.
- Hedonic adaptation makes us less emotionally sensitive to both positive and negative changes.
- Individuals who have experienced adversity, such as paralysis, also tend to return to their original baseline happiness levels.
- Winning the lottery may not make us happier due to difficulties in managing large sums of money, social isolation, and the potential for increased mean-spirited behavior.
- We adapt to material things faster than we do to novel experiences.
- Spending money on experiences and using money to help others can increase happiness.
- Research shows that spending money on others and engaging in acts of generosity tends to correlate with higher levels of happiness.
Transcript
Winning the lottery may not guarantee long-term happiness. A study of 22 lottery winners showed that their average reported levels of happiness had not increased significantly months after winning. Some winners even reported feeling unhappier than before. This phenomenon is known as hedonic adaptation or the hedonic treadmill, wherein we adapt to new situations and return to our default emotional state. While novelty initially brings joy, it fades over time.
Interestingly, this adaptation also applies to negative experiences. A study found that individuals who had suffered accidents resulting in paralysis reported levels of happiness approaching their original baseline several months after the incident. Therefore, the hedonic treadmill appears to shape our emotional resilience as well.
Managing a large sum of money can be challenging, and some lottery winners end up spending or losing it quickly. Social isolation is another potential consequence, as winners may face unwelcome requests for money and choose to distance themselves from others. Additionally, wealth has been associated with increased selfishness, as evidenced by a study where wealthy participants behaved poorly towards poorer players in a game of Monopoly.
However, this doesn’t mean that money can never bring happiness. Research suggests that we adapt faster to material possessions compared to novel experiences. So investing in experiences rather than material things may lead to greater happiness. Furthermore, spending money on others has been shown to increase happiness. Participants who spent money on someone else reported higher levels of happiness compared to those who spent it on themselves. Generosity has also been found to correlate with greater happiness in various countries.
Despite these findings, deciding what to do with a sudden influx of money can still be a complex task.
