Money Rules to Live By III

The Pointlessness of the Hedonic Treadmill
No, this isn't the latest workout device at your gym. The hedonic treadmill means that we quickly adjust to improved circumstances. A raise at work or a new possession may make us happy for a little while, but we soon take our situation for granted. Our expectations continue to rise: if only I could get another raise, or a better car, or a bigger house. Should those expectations be satisfied, again we'd adjust and quickly want more. Ours is a generation that spend too fast and commit to much. On the contrary, I have a friend who, despite being very successful, refused to upgrade to a BMW or a Merc recently. He could if he wanted to. When I asked him lately why he changed his 5 year-old 1600 cc Nissan Sunny for a 2000 cc Honda Accord instead of a Lexus or Beemer, his reply was, "I want to upgrade slowly; I want to feel the joy of improvement, but slowly". I know eventually I will get to see his Lexus or BMW one day, but I am sure he is pacing his commitment well. May his tribe prevails!
This has a lot of implications for personal finance and the economy, but here's something to consider: Maybe we need to look beyond our wallets for true happiness. Like my friend, feel the gradual improvement; display delayed gratification instead of jumping into instant consumption, turbo-charged!
That's it for now. 3 more rules tomorrow, so watch this space.