Talk About a Tough Sell: College is About Leisure Time?

Bit of an aside, but one of the contributing factors to that diminishing marginal utility of money I just mentioned in another post appears to be that humans, as social animals, often have a tie between their happiness and their status, particularly in their closer social circles. And some people imagine in advance that more money will bring them more status, but then they tend to end up around other people with similar money, and that doesn’t work.

Generally it is questionable to look to your job for status for similar reasons–you typically end up around a lot of people with the same job (see also looking to attending a certain college for status–a lot of people find the effect they were hoping for diminishes rapidly once they are surrounded by other people going to the same college).

But at least if you are also talking about a local community with diverse jobs, jobs with higher local social utility can have higher local status. Which is probably part of why they CAN be lower-paid. The compensation in the form of social status is making those jobs more competitive than the financial compensation alone can explain.

Anyway, the bottom line is we know there is usually a sharply diminishing marginal utility to higher incomes. Hence why a lot of happy people have not maximized income, but have struck a balance between work income and other things that matter to them, like job satisfaction, time with family, and, in fact, “leisure” in the broad sense.

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