Buying experiences: the optimal happiness strategy for money

Can money make us happy if we spend it on the right purchases? A new psychology study suggests that buying life experiences rather than material possessions leads to greater happiness for both the consumer and those around them.

The study demonstrates that experiential purchases, such as a meal out or theater tickets, result in increased well-being because they satisfy higher order needs, specifically the need for social connectedness and vitality -- a feeling of being alive.

"These findings support an extension of basic need theory, where purchases that increase psychological need satisfaction will produce the greatest well-being," said Ryan Howell, assistant professor of psychology at San Francisco State University.

San Francisco State University (2009, February 17). Buying Experiences, Not Possessions, Leads To Greater Happiness. ScienceDaily.

The list is life

Wasn't surprised to find that when this story ran, it was on Bloomberg news. If any company would have an exquisite sensitivity for the cash value of data, presented in a form that's useful to the user, it's Bloomberg.

April 28 (Bloomberg) -- Barack Obama's supporters are giving him more than just record amounts of cash. They also are providing personal information that may make his donor list the most powerful tool in U.S. politics.

Even if the Democratic presidential candidate doesn't succeed in his White House bid, this data will make Obama a power broker in the party for years to come. For the interest groups or Democratic candidates he chooses to sell it to, it would provide a gold mine of information and access to potential donors.

Almost 2 million people have entered personal information on Obama pages on social-networking Web sites such as Facebook, MySpace and his campaign's mybarackobama.com, offering home addresses, phone numbers, their views on specific issues and the names of friends. The data have allowed Obama, 46, to raise more than $200 million, fill sports arenas with supporters across the nation and motivate millions more with custom-tailored messages.

"It's gigantic," said Laura Quinn, chief executive officer of Catalist, a company that maintains a database of 280 million Americans. The list is as "transformational" as the advent of political advertising, she said.

Bloomberg News: Obama's "Gigantic" Database May Make Him Party's Power Broker