You have to distinguish between happiness as emotional well-being (i.e., do you have more happy or sad moments on an average day), vs happiness as life satisfac

You have to distinguish between happiness as emotional well-being (i.e., do you have more happy or sad moments on an average day), vs happiness as life satisfaction (i.e., how happy are you with how your life is going in general). There's some evidence that the former measure plateaus at some income level, but there's also significant evidence that the latter doesn't: http://www.pnas.org/content/107/38/16489.full http://www.pnas.org/content/107/38/16489.full