Public spending is associated with happiness, but it might not actually cause happiness, said the study authors. It’s also plausible that happy people of all income levels are simply more willing to spend tax money. If that’s true, it would suggest that Grafton’s miserly approach to public spending didn’t necessarily cause unhappiness among its residents. Rather, the low tax rate may have been a predictable outcome for a town that had, over the years, become a haven for miserable people.