Happiness: The Illusion of Consumption and Growth

This lecture explores why happiness does not increase with GDP per capita, discussing decreasing marginal satisfaction from consumption, environmental degradation, psychological costs of economic growth, and the impact of social support and freedom on happiness. It also delves into the illusions of consumption and technical progress, the seeds of unhappiness such as anxiety and fear, and the possibility of high life satisfaction with low GDP per capita. The instructor presents various theories including Maslow's hierarchy of needs, the Veblen effect, and Amartya Sen's capabilities approach, highlighting the complex relationship between economic growth and well-being.