The Laughing Man

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A few years ago, Kahneman set aside the question of cognitive biases and turned his attention to the relationship between income level and well-being. By analyzing the results of the Gallup-Healthways Well-Being Index, which asked some 450,000 Americans what brings them joy, he discovered, as the New York Times aptly put it, “Maybe money does buy you happiness after all.” With maybe being the operative word. What the data show is that one’s emotional satisfaction moves in lockstep with one’s income—as income rises, well-being rises—but only to a point. Before the average American earns $75,000 ...more
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