Can Money Buy Happiness? The Paradox of Misery at the Top

In a world obsessed with wealth, a fundamental question remains: does money really buy happiness?

A groundbreaking new study by Prof. Dr. Nikolaos Antonakakis (University of Nicosia, Athens Campus) and Dr. Luca F. Ticini (Italian Society of Neuroaesthetics, “Semir Zeki” Institute) sheds light on this timeless debate. Drawing on data from 155 countries (2005–2023), their research uncovers a striking pattern: in rich countries, happiness first rises with income — then falls once a certain threshold is reached.

The authors call this phenomenon “Misery at the Top.”

The Shape of Happiness: An Inverted N

In advanced economies, the relationship between income and subjective well-being forms an inverted N-shaped curve. Happiness grows as income rises from around $14,000 to $73,000 per capita, but beyond that point, additional income correlates with declining life satisfaction and emotional well-being. In other words, once material comfort is secured, more money may lead to stress, social comparison, and diminishing joy.

By contrast, in developing economies, the relationship remains consistently positive — every additional dollar still improves quality of life, as basic needs are being met. This divergence suggests that wealth matters most when scarcity prevails — but beyond a certain level, other factors take over.

Why Happiness Declines Among the Rich

The study highlights several psychological and social mechanisms that may explain this downturn:

• - Hedonic adaptation: people quickly get used to wealth and raise their expectations, making new gains less satisfying.
• - Social comparison: once basic needs are met, individuals judge success relative to others — and there’s always someone richer.
• - Loss of autonomy and meaning: pursuing wealth can erode intrinsic motivations and social connections.
• - Stress and time scarcity: high-income lifestyles often come with long hours and pressure to maintain status.

In short, the pursuit of more can come at the cost of balance, freedom, and connection.

Implications for Policy and Society

The findings call into question the use of GDP as the sole measure of progress. In developing countries, economic growth remains vital for improving well-being. But in high-income societies, the link between wealth and happiness weakens — or even reverses — suggesting the need for policies that promote social trust, good governance, mental health, and life balance.

As Antonakakis and Ticini note, societies should measure success not just by what people earn, but by how they live and feel. True prosperity depends on freedom, fairness, and meaningful social relations — not just higher incomes.

The Takeaway

Money can buy comfort, security, and opportunity — but beyond a certain point, it may not buy happiness. Perhaps the true wealth of a nation lies not in its GDP, but in the well-being of its people.

Read full research study here