By Kathryn Mandelcorn, FMA

Charles Dickens wrote A Christmas Carol in 1843. Most people know the story of Ebenezer Scrooge, a miserly man who transforms his life after three spirits teach him the joy of giving. It seems Dickens was way ahead of the research on money and happiness.

Dr. Elizabeth Dunn an associate professor of psychology at University of British Columbia and Michael Norton an associate professor of business administration at Harvard Business School wrote an article in which they say their research has shown that “people with a comfortable living standard are happier than people living in poverty.” But once people reach a “comfortable standard” of income, which falls somewhere around $75,000 a year in the United States, additional income doesn’t create additional happiness. Continue reading →