You Are Rich
It might not feel like it, but there’s a good chance you are richer than 99% of the world.
The hedonic adaptation theory suggests that humans quickly revert to a stable level of happiness after any positive or negative life changes. For example, you might be pleased with a raise for a while, but it will soon become the new norm, wiping away any gains in happiness¹. While generally comparing yourself to others is a bad idea, it’s a great way to put your financial well-being into perspective. So, how rich are you really?