Princeton Study Debunks Happiness and Income Myth

Washington DC (AHN) - Money equals happiness is mostly an illusion according to Princeton University researchers, who found that money's role is not as important as predicted, and people with higher incomes do not necessarily spend more time in more enjoyable ways.

Princeton professors, economist Alan B. Krueger and psychologist and Nobel laureate Daniel Kahneman,worked with three other universities on the study, which is set to be published in the June 30 issue of Science.

The new findings resulted from their aim to formulate other methods of measuring the well-being of individuals and of society.

"The belief that high income is associated with good mood is widespread but mostly illusory," the researchers wrote. "People with above-average income are relatively satisfied with their lives but are barely happier than others in moment-to-moment experience, tend to be more tense, and do not spend more time in particularly enjoyable activities."

According to the Princeton website, the researchers have developed a tool to measure people's quality of daily life known as the Day Reconstruction Method (DRM). It takes into account an "enjoyment scale" that makes people jot down the previous day's activities in diary form and assess their feelings about the experiences.

The survey showed that respondents who earned less than $20,000 a year clocked in only 12 percent of their time spent in a foul mood, much less than those who took home more than $100,000.

"If people have high income, they think they should be satisfied and reflect that in their answers," Krueger told the Princeton website. "Income, however, matters very little for moment-to-moment experience."