Many not happy on 'hedonic treadmill'

LONDON, Dec. 31 (UPI) -- While many U.S. adults wish for better finances in the new year, a British economist says money is not the path to happiness.

Humans cling to the idea that money and happiness are linked, so "people tend to expect more from money than it can give," Richard Layard, author of "Happiness: Lessons From a New Science" told the New York Times.

"Many studies show that people have an exaggerated forecast of the benefits of having that higher income or bigger house," he said.

Researchers have found people experience more happiness for a while after buying something or getting a raise, but then the thrill goes away and happiness levels return to the base level.

Studies have also shown that whatever people earn, they tend to think right amount they need to live on is higher still.

People tend to crave more money and things to restore that peak thrill, said Layard, only to adapt and seek the next high -- an addictive phenomenon that economists call the hedonic treadmill.