Psychology says financially secure people are the happiest, and “Money makes people happy because it gets them out of almost all forms of misery”

The relationship between money and happiness has been debated for decades. However, some psychology scholars suggest that income does influence people’s well-being, especially by allowing them to meet basic needs and reduce situations of vulnerability.

Social psychologist Daniel Gilbert, a psychology professor at Harvard University, explained in an academic lecture why money can increase happiness: it helps people avoid many forms of everyday suffering.

“When people are hungry, cold, or sick, they are not happy,” he said, and added: “Money makes people absolutely happy because it gets them out of almost all forms of human misery”.

Psychology says that money can help with happiness

According to the researcher, studies show that people with fewer resources experience significant increases in their well-being as their income grows.

This is because money is the gateway to accessing basic and essential things such as

• Food.
• Safe housing.
• Medical care.
• Economic stability.

When those needs are covered, well-being usually improves.

A key point the expert highlights about money and happiness

Gilbert points out that the relationship between money and happiness does not grow indefinitely, because at higher levels of wealth the effect tends to level off.

The importance of bonds for happiness

The psychologist also cited research by Nobel Prize winners Daniel Kahneman and Angus Deaton on the relationship between human connections and well-being

A study conducted by both researchers in 2010 found that social relationships can have an even greater impact than money on mood.

The expert then indicates that spending a day with loved ones has a much greater emotional boost than increasing income, this being another of the ingredients analyzed for the “recipe” of happiness.