Monday, November 2, 2009

Economics of happiness

This is probably not a new topic.

In econs, we learn of the diminishing margin of utility, ie, the more you eat something, the less you enjoy it over that same period of time. I mean, you can get really sick from eating all the ice cream in the world at one shot, even if it is your fav food.

And that is what happiness (as defined by us) is all about.
Because we fail to see the changes in each passing moment, we assume things to be constant, and assume that once we get something, we will be happy.

But is that really the case. Look at decreasing marginal utility. The enjoyment will decrease. For sure!
So when will we ever be truly happy?

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