The World is Getting Better?

Experts are confounded: by all objective metrics, the state of the world (not just the United States) is getting better, yet people are less happy than ever. David Myers, in his book “The American Paradox: Spiritual Hunger in an Age of Plenty” writes “Compared with their grandparents, today’s young adults have grown up with much more affluence, slightly less happiness and much greater risk of depression and assorted social pathology.” Consider this, the average happiness in the 1940s, when only 2/3 of households had indoor showers and plumbing, was 7.5 out of 10; this compares to a score of 7.2 out of 10 in 2015, when indoor plumbing is standard in every household, even in the poorest of neighborhoods, not to mention the many modern conveniences introduced since 1940. We are healthier and wealthier than at any other point in history, yet we’re unhappier than we’ve ever been. Rather than celebrating the progress we’ve achieved, we’re railing against the injustices that still exist.

The world has been improving, and not only slightly, but dramatically. Using a fact-based view, Hans Rosling in his book “Factfulness” explains that while there are still distinctions between rich and poor, we are all collectively getting better. The views that most of us convey to each other, and read in media are opinions, not facts, and these opinions are not only antiquated, but ignorant. From a wealth perspective, there are almost no developing markets left today, even though we still label certain countries as being “developing.”  In the last 20 years the proportion of the world population living in extreme poverty has halved, and the majority of the world population now lives in middle income countries (not poor countries). On the health front, 88% of the world population is vaccinated, and the world life expectancy now averages 70 years. Most of the world is clothed and sheltered, and over 80% of the world population has access to electricity. Even on the social front, the gaps we perceive to exist have vastly been eliminated. For example, in all low income countries around the world, 60% of girls finish primary school, which is about the same percentage for boys. Worldwide, 30-year old men have spent 10-years in school (on average) while women have spent 9 years. And in 2016, it was reported that 86% of the world population is literate (i.e. can read and write); this compares to only 10% in 1800. As for gender equality front, today 193 out of 194 countries provide equal rights for women and men to vote (in 1893, this figure was 0).

The world has made a lot of progress in the last two centuries, particularly the last few decades. In 1800, the majority of the world lived in extreme poverty, which meant they were living on about $1/day. They probably walked using bare feet, slept on dirt floors (with little shelter), had to fetch their own water, and cook over an open fire. Today, there are few people living like this. With the rising tide of wealth, all boats have been lifted. At $8/day, a family now had a gas stove, a mattress, a bike (perhaps to fetch water), and shoes (plus, their kids will be now able to attend school). At $32/day, a family would move to running water, a refrigerator, and a motor bike (and their kids would be able to finish high school, not to mention healthcare would be available). What most Americans would consider to be trivial upward movement is actually substantial, life-changing progress. It’s hard to believe, but even some of the wealthiest developed nations were once surviving on less than $32/day. In 1940, Sweden was one of those countries, and by 2015, they’ve become one of the richest countries in the world – quite an accomplishment! It’s not a stretch to say that America has undergone that same transformation during that period, and by further extrapolation, most middle income countries will become rich countries in the next few decades.

With all this progress, why is everyone so unhappy? In a study by Nobel Prize winners Kahneman and Deaton, they explored the correlation between “life satisfaction” and “income” amongst Americans in 2008-2009 and found that increases in income do provide happiness, but only up to a certain point.  Turns out when a person moves from $10,000/year in salary (or ~$27/day) to $75,000/year in salary, their happiness increases dramatically. However, after they reach the ~$85,000/year mark, incremental income changes (on the positive side) do not provide additional happiness. In essence, when a person needs to provide basic needs and security for their family, wealth can be life-changing, as with our parent’s generation (when they earned below the $75k/year mark). Once basic needs are met, additional wealth ceases to provide as much comfort as before (if any). That means the accessible luxury products and other comforts provided by today’s modern conveniences will make us believe we should be happier, but do nothing in terms of increasing our happiness.

From another perspective, Hans Rosling argues that the increasing press freedom and improving technology brings more news about disasters than ever before. Journalists are paid to write polarizing stories (as opposed to everyday stories), because they are interesting and captivating, and readers have a hard time realizing that these stories represent the fringes of society, not the median; they represent the minority, not the majority.  If we look at journalism from a historical perspective, Hans Rosling writes, “When Europeans slaughtered indigenous peoples across America a few centuries ago, it didn’t make the news back in the old world. When central planning resulted in mass famine in rural China, millions starved to death while the youngsters in Europe waving communist red flags knew nothing about it. When in the past whole species or ecosystems were destroyed, no one realized or even cared. Alongside all the other improvements, our surveillance of suffering has improved tremendously. This improved reporting is itself a sign of human progress, but it creates the impression of the exact opposite.”

This proliferation of media intensifies the gap instinct in human beings, where they divide things into two distinct groups, with nothing in between: rich vs. poor, good vs. bad, heroes vs. villains, my country vs. the rest of the world. It also leads to people simplifying problems and solutions. For example, many of us espouse the premise that all problems are caused by inequality, which we should always oppose, and the solution to all problems is redistribution of resources, which we should always support.

Some researchers argue that the rise of social media is also a source of our unhappiness. A 2017 study looked at 18-22 year olds and how social media impacted their anxiety levels. The conclusion was that the more time spent on social media, “the greater the association with anxiety symptoms and the greater likelihood of an anxiety disorder.” On lifestyle-focused sites like Instagram, a user might see a friend’s perfectly framed, glamorous photo and compare themselves negatively to those images.

Aside from information overload, social media also seems to promote materialistic attitudes, which research has shown does not lead to life satisfaction. In a study by Nickerson et al. (2003), 12,000 freshmen were surveyed about materialistic attitudes, and were re-surveyed 20 years later. Turns out materialistic individuals had much less life satisfaction than non-materialistic individuals even two decades later; they also had more mental health disorders. It stands to reason that the luxuries (and accessible luxuries) that we have come to enjoy are also the albatrosses in our lives.

In short, it seems the combination of increasing press freedom (which disproportionately reports on disasters and polarizing topics) and materialism (due to social media proliferation and lower prices from free trade) has created a world of unhappiness for all of us. This is interesting, given we live in a capitalist society, which embraces free speech, free trade, and economic growth. Perhaps these forces, which have been significant drivers of progress and prosperity, when left unchecked, might also be the biggest sources of doom and gloom.

Could it be that in our pursuit of happiness, we end up even unhappier? I think the answer is that we should learn to enjoy everything in moderation. A world with too much press, too much media, and too much materialism is simply too much for anyone to handle. As the Bible says in Proverbs 25:16, “If you have found honey, eat only enough for you, lest you have your fill of it and vomit it.” So, enjoy life, but not too much. As the World’s Most Interesting Man once said, “Stay thirsty, my friends…”