Contrary to conventional wisdom, money can buy you happiness, but only if spent on doing things as opposed to being spent on having things.
In the book “Luxury Fever,” economist Robert Frank concludes, after a careful review of evidence, that those who think money can’t buy happiness just don’t know how to spend it properly.
Frank says that the positive feelings we get from material objects are fleeting. Spending money on experiences, however, produces positive emotions that are both meaningful and longer lasting.
Frank’s research says that spending money on activities, such as a concert, a ski trip or a group dinner out, brought far more happiness than material purchases like shoes, cars or expensive watches.
When spending money, learn to spend it on experiences, rather than on material possessions. If you want to take it one small step further, learn to spend it on experiences with other people.