Living for Money: the Hedonic Treadmill Explained #shorts
0The Hedonic Treadmill, or Hedonic Adaptation, is a psychological concept that explains why excessive spending often doesn't lead to long-term happiness. According to this theory, when you make a lavish purchase, like a new car or designer clothes, you initially feel a boost in happiness. However, over time, you adapt to having these new possessions and your level of happiness reverts back to its original baseline.
This concept applies to spending habits because it suggests that buying more or more expensive items doesn't result in lasting happiness, as we quickly adjust and start looking for the next purchase to bring a fleeting joy. Understanding the Hedonic Treadmill can help curb excessive spending by highlighting that real, lasting happiness often comes from non-material factors, such as relationships, personal growth, and experiences, rather than constant consumption and accumulation of goods. Instead of continually chasing after the next big purchase, it's more beneficial to focus on sustainable financial habits and meaningful, non-material pursuits. #hedonictreadmill #personalfinance #moneyhack