Cavazos 1

Ileana Cavazos

Robin Bell

ENGL-1302.P18

07 April 2024

Money Meets Happiness

“Money can’t buy happiness” is a phrase so often repeated that it has become a cliche. As

people chase dreams, work hard to provide for their families, and pursue fulfillment, the idea that

money could bring happiness continues to tempt people. Some people may argue that true

happiness goes beyond material possessions, while other people may recognize the importance

of money in meeting our needs and improving our own well-being and others as well. To be

sure, money cannot buy happiness even if a person is a millionaire or even a multimillionaire.

There are a lot of cases of famous rich people that live with depression and addictions, and it is

so sad to see them in those conditions when there are people that wish to have the money those

people have and would take approach of it in positive things. There are also people that are so

obsessed with money that they cannot enjoy time with family and friends or even have time for

themselves just to keep working and make more money. But the truth is that money is essential

to solve people’s life problems by meeting their needs and improving their happiness levels.

Joachim Weimann states that “money alone doesn't make you happy; on the other hand, no

money at all isn't the answer." (Weimann 57). He emphasizes that money plays a role in meeting

basic needs and improving well-being.

Weimann depicts the fact on unemployment reduces happiness beyond just income loss.

He argues that the negative impact of unemployment on happiness cannot be solely attributed to

loss of income. A study conducted in Germany revealed that employed individuals tend to report
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higher levels of life satisfaction compared to those without jobs. While the loss of income

associated with unemployment certainly contributes to decreased well-being, the decline in life

satisfaction cannot be attributed to financial factors. Weimann argues that even if income losses

were completely offset by transfer payments or government assistance, jobless individuals would

still experience lower happiness (59). Unemployed people are more likely to feel more desperate

than employed people since they are in a hurry to pay rent, bills, buy food for the whole month,

or even buy medicines in case they need it. But how are they going to buy all those things

without a cent? That is when happiness levels decrease and make people go into crisis.

Additionally, extended periods of unemployment can lead a person to destroy his morality,

diminish self-worth, and increase their stress and anxiety, all of which can negatively impact

mental health and overall happiness. The psychology of being jobless stands out in well-being

and the importance of both economic security and personal fulfillment in achieving happiness.

But there are people who think being jobless cannot affect your happiness since they think

money is not everything in the world, but it is.

The role of relative income and social comparisons is common in determining happiness,

rather than absolute income levels. What has been spectacular and important so far is primarily

the realization that the absolute level of our income does not play a role since the role of the

relative position is more important. (Weimann 73). This means that an individual's perception of

their financial standing in relation to others, rather than their actual income amount, significantly

influences their sense of well-being and happiness. Having money for needs and basic things

means fewer worried and depressed people. In contrast, people that start to have money pressure

themselves to have a huge house and new cars by credit are more likely to end up in debt and

depressed. People focusing on how their income stacks up to others can promote unhealthy
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materialism. When people are always striving to match the success and wealth of those around

them, it becomes an endless cycle. No matter how much money or stuff they get, they are never

truly content because there is always someone else, they think they need to catch up to. They end

up on a treadmill of constantly wanting more without ever feeling like they have enough. This is

another reason people tend to debate whether money brings happiness or not since it can be a

double-edged weapon. Happiness depends a lot on an individual’s personal perspective and

comparisons, not just numbers. People’s sense of fulfillment comes from how they view their

situation relative to others, not objective financial measures alone.

Happiness and money also involve people’s aspirations and how they feel about their

income. Robert Biswas-Diener and Ed Diener compare two couples that have different incomes.

They state that the couple with lower income is happier since they have what they need and do

not have any complaints. However, the couple that has more income tends to constantly argue

about expenses. This shows that money can bring happiness if the person is satisfied with their

budget. This claim that Biswas-Diener and Diener argue contributes to the idea that no money at

all is not the answer. It depends on the individual’s mindset and aspirations to decide if money

gives them happiness or problems.

Income and happiness are two things that are similarly connected. Higher incomes allow

people to meet their basic needs and improve their well-being. By showing the positive

connection between income and happiness, research by Salauddin Tauseff demonstrates the

importance of money in fulfilling fundamental needs and contributing to happiness. Specifically,

Tauseef's study found that people living above the poverty line reported higher levels of

happiness compared to those below the poverty percent number (Tauseff 12). This suggests that

having a minimum level of financial stability, where one can afford necessities like food, shelter,
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and healthcare, has a positive impact on subjective well-being. However, the relationship

between income and happiness is not necessarily accurate. There appears to be an opposition to

where some people think additional income tends to contribute to less happiness. As Tauseef

research indicates, once a certain level of financial stability is achieved, allowing for a

comfortable standard of living increases in wealth may have a more modest impact on overall

well-being and life satisfaction (Tauseff 14). So, this suggests that some people think that while a

minimum level of income is important to provide a happier life, excessive wealth or materialism

may not be as strongly connected with happiness and fulfillment.

Money can satisfy not only our own needs, but also other people’s. People can help

others without needing to be rich or a multimillionaire. Natalie Cargill relates to the world her

idea of how money can solve the world’s biggest problems. She states that if everyone were to

put from fifty cents to two dollars, there would be a capital of three trillion dollars that could

help the poorest people in the world. She introduces how philanthropy may sound negative to

most people, but that if people were to cooperate, then the meaning of philanthropy could turn

out to be positive. With part of those three trillion, people with money could help solve problems

such as lack of water in poor regions, woman birth and health control, medication in deprived

areas, and more serious problems happening in parts of the world that need people’s help.

Unfortunately, her approach challenges the individual's mindset of being "not their

responsibility." Those people who think like that do not stop and realize that they have the

possibility to help people who need necessities and do not move a finger, changing that mindset

could improve the poor’s well-being and bring them happiness. By highlighting how all humans

are connected and how poverty impacts the entire world, Cargill makes a convincing argument
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that solving these problems should be something everyone prioritizes together and not just for

moral reasons, but because it improves society for all of us.

Moving on to the next point, Herald Tribune Sarasota states that funding issues like lack

of schools and facilities require more money as a solution. There are some serious problems that

do require more money to solve. It is obvious that more problems like these happen anywhere in

the world, especially in deprived areas or even in areas that have the capital but does not invest

in those necessary things. Money is essential to improve people's needs and wellbeing, especially

if more than a hundred individuals are involved. Sarasota stated the fact that individuals in

Florida funded between three to five billion in school constructions. This compares Cargill’s

ideas and examples, which supports the claim that if everyone cooperated, problems could be

solved for the good of people’s well-being. But for some people, it may sound that schools do

not have to do anything with happiness, but they do since these are basic needs for individuals,

and for some it is seen as a luxury, but it is essential to subjective well-being. Some people might

be happy with their school's maintenance while others not, however, this also goes back to the

idea that people are happy with what they think they have is enough for them.

While there are limitations of materialism in achieving lasting happiness, the role of

money fulfills basic needs and provides opportunities for personal growth and fulfillment. Nancy

Etcoff states in her TED Talk that financial security is essential for meeting basic needs such as

food, shelter, and healthcare, indicating that the significance of money is to improve wellbeing.

She argues that there is a balance too between material and non-material sources of satisfaction.

While people think that long-term happiness often stems from experiences and personal growth,

others think that material possessions can provide temporary pleasure. Etcoff discusses the

concept of “hedonic adaptation” where people quickly adapt to material gains and seek new
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sources of satisfaction, illustrating the nature of materialism compared to enduring sources of

happiness. This emphasizes that a need for balanced approach of happiness is needed, realizing

the significance of both material and non-material sources of happiness. This only proves that the

idea of whether money meets happiness is divided into two groups. The people who think that

material possessions bring happiness and the others who think that non-material possessions

bring happiness.

Given these points, some people argue that true happiness goes beyond material

possessions, while others recognize the importance of money in meeting our needs and

improving our own well-being and others. To be sure, money cannot buy happiness even if a

person is a millionaire or even a multimillionaire. While money alone cannot guarantee

happiness, it plays a crucial role in meeting basic needs and improving overall well-being. To be

clear, it is all about an individual’s mindset and how they feel about their financial status. The

balance between material and non-material sources of satisfaction is essential for long-term

happiness, emphasizing the importance of financial stability in fulfilling fundamental needs and

contributing to happiness levels.

Works Cited

Joachim Weimann, et al. Measuring Happiness: The Economics of Well-Being. The MIT Press,

2015. EBSCOhost, research.ebsco.com/linkprocessor/plink?id=3785b588-555f-3d20-b30f-

c87076abaf09.

Tauseef, Salauddin. “Can Money Buy Happiness? Subjective Wellbeing and Its Relationship

with Income, Relative Income, Monetary and Non-Monetary Poverty in Bangladesh.” Journal of

Happiness Studies, vol. 23, no. 3, Mar. 2022, pp. 1073–98. EBSCOhost,

https://doi.org/10.1007/s10902-021-00443-9.

Cargill, Natalie. “How To Solve The World's Biggest Problems.” TED. Apr, 2023,

https://www.ted.com/talks/natalie_cargill_how_to_solve_the_world_s_biggest_problems?

subtitle=es&language=es

"PROBLEM MONEY CAN SOLVE." Sarasota Herald Tribune, 12 June 1997, p. 16A. Gale

OneFile: Business,

link.gale.com/apps/doc/A74135292/ITBCu=txshracd2547&sid=ebsco&xid=ba23a3f2.

Etcoff, Nancy. “Happiness and its surprises.” TED. Feb, 2004,

https://www.ted.com/talks/nancy_etcoff_happiness_and_its_surprises?subtitle=en&language=en

Diener, Ed, and Robert Biswas-Diener. “Can Money Buy Happiness?” Pursuing Happiness: A

Bedford Spotlight Reader, Bedford 2019, pp. 169-171.