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  • 2010
  • Working Paper
  • HBS Working Paper Series

Prosocial Spending and Well-Being: Cross-Cultural Evidence for a Psychological Universal

By: Lara B. Aknin, Christopher P. Barrington-Leigh, Elizabeth W. Dunn, John F. Helliwell, Robert Biswas-Diener, Imelda Kemeza, Paul Nyende, Claire Ashton-James and Michael I. Norton
  • Format:Print
  • | Language:English
  • | Pages:26
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Abstract

This research provides the first support for a possible psychological universal: human beings around the world derive emotional benefits from using their financial resources to help others (prosocial spending). Analyzing survey data from 136 countries, we show that prosocial spending is consistently associated with greater happiness. To test for causality, we conduct experiments within two very different countries (Canada and Uganda) and show that spending money on others has a consistent, causal impact on happiness. In contrast to traditional economic thought-which places self-interest as the guiding principle of human motivation-our findings suggest that the reward experienced from helping others may be deeply ingrained in human nature, emerging in diverse cultural and economic contexts.

Keywords

Spending; Philanthropy and Charitable Giving; Happiness; Motivation and Incentives; Welfare; Uganda; Canada

Citation

Aknin, Lara B., Christopher P. Barrington-Leigh, Elizabeth W. Dunn, John F. Helliwell, Robert Biswas-Diener, Imelda Kemeza, Paul Nyende, Claire Ashton-James, and Michael I. Norton. "Prosocial Spending and Well-Being: Cross-Cultural Evidence for a Psychological Universal." Harvard Business School Working Paper, No. 11-038, September 2010.
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About The Author

Michael I. Norton

Negotiation, Organizations & Markets
→More Publications

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More from the Authors
  • Policy Stringency and Mental Health During the COVID-19 Pandemic: A Longitudinal Analysis of Data from 15 Countries By: Lara B. Aknin, Bernardo Andretti, Rafael Goldszmidt, John F. Helliwell, Anna Petherick, Jan-Emmanuel De Neve, Elizabeth W. Dunn, Daisy Fancourt, Elkhonon Goldberg, Sarah P. Jones, Ozge Karadag, Elie Karam, Richard Layard, Shekhar Saxena, Emily Thornton, Ashley Whillans and Jamil Zaki
  • Consumers Value Effort over Ease When Caring for Close Others By: Ximena Garcia-Rada, Mary Steffel, Elanor F. Williams and Michael I. Norton
  • Communicating Resource Scarcity and Interpersonal Connection By: Grant E. Donnelly, Anne V. Wilson, Ashley V. Whillans and Michael I. Norton
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