The Price of Your Happiness

“Moderation in everything” is a central guiding truth in life. Your first bite of a big meal is tastier than your last bite. This concept is called the law of diminishing marginal utility because it’s so often true.

“The difference between men and boys is the price of their toys.” –Malcolm Forbes
Real world studies back up the idea that each additional bit of consumption adds less to your happiness. The richer people are, the more extra money is required to make them happier.

“If you have two coats, you have stolen one from the poor.” –Dorothy Day
An alternative use of your money is to help others. Assuming it is properly spread around, charity does not suffer from diminishing marginal utility.

Thus, the richer you become, the more it costs others when you buy happiness.
Jeff Bezos built a $500M yacht, apparently to be happier. Bezos’ money gives him the power to decide how others should spend their time – and he decided 8,000 years of an average American’s salary should be spent building a silly boat instead of doing something productive.

If you’re getting richer and you care about other people, try not to find your happiness in expensive consumption. If you fear God, carefully count the cost of what you consume.

Counterpoint: “Greed is good.” –Gordon Gekko
Profit motivates lots of helpful things for society.