At the extreme- Few people are personally envious of Jeff Bezos having a nicer house/car/boat/vacation. But the way some people in my small middle class hometown react to someone who lives in the same town/hood, kids going to same school driving a $40k car when they drive a $25k car is kind of comically deranged.
In the grand scheme of things past a certain income level as a lump sum cost, they are not a large expense compared to housing. Nor is their monthly cost if financed particularly expensive next to the ongoing forever cost of insuring, fueling/charging, maintaining and garaging them. Nor is driving around in a relatively decent & recent model vs trying to keep an old model in working order with all the maintenance costs.
If you make 6 figures / live in a HCOL area, then the difference in a $25k or $40k or $50k car over the course of a 10 year life is kind of whatever. The insurance, maintenance and gas/charge over that 10 years probably adds up to $30k at a bare minimum. Your house probably cost $1M.
Even if you trade-in every 4~5 years at the end of the warranty period to minimize random maintenance costs, then maybe you eat like $3-4k/year of depreciation during ownership.. again not a huge number to have a reliable, safe, modern car at all times.
The real outsized car costs are incurred with car nerds who max out on having more cars than drivers, and/or "upgrading" every year, constantly eating max depreciation.
“People like you more when you are working towards something, not when you have it.” - Drake
Net worth goes from $0 to $1 million: Ecstasy. Net worth goes from $10 million to $1 million: Despondency. Can we agree that all wealth is relative?
A lot of people like making money more than they enjoy having money. The change, not the accumulated amount, is the thrill.
The last one is the biggest mindfuck to me because I can relate to it so much. Every single online MMO I play I'm happy making tiny amounts of money and watching the balance go up. I don't care much for upgrading to bigger and better things or end-game content. I played this game called Tibia pretty seriously for a period of time and then got bored and was going to stop. There were a few months where the only thing I would do is log in, do about 6 daily quests I enjoyed doing that were dead easy, collect my 1000gp or however much it was and walk around town for a bit debating if I want to level up before quitting.
I think that's more because when going down on income (regardless of the starting amount and difference), that usually comes with having to resign from some luxuries on that way. While earning more means experiencing luxuries you couldn't afford before.
Like, moving from public transport to nice car vs the other way around. Or living in cramped apartment vs nice house.
> A lot of people like making money more than they enjoy having money. The change, not the accumulated amount, is the thrill.
I would not say a lot; I think there might be some self-selection when people focus on making money that might just become their hobby and so have higher motivation to earn more and more vs focusing on other areas in life.
The few well-off people I know don't exactly feel like ones making money for money sake
> The last one is the biggest mindfuck to me because I can relate to it so much. Every single online MMO I play I'm happy making tiny amounts of money and watching the balance go up. I don't care much for upgrading to bigger and better things or end-game content. I played this game called Tibia pretty seriously for a period of time and then got bored and was going to stop. There were a few months where the only thing I would do is log in, do about 6 daily quests I enjoyed doing that were dead easy, collect my 1000gp or however much it was and walk around town for a bit debating if I want to level up before quitting.
I am complete opposite. When I was seriously raiding in WoW (we were usually somewhere in top 5 guilds on our server) I still did just enough to have money for any gear/consumables I needed.
Same in other areas, I need to have some end goal, else I don't have all that much motivation for work or getting better pay. Else I'd just burn money on random crap (I got better with that over the years)
> A lot of people like making money more than they enjoy having money. The change, not the accumulated amount, is the thrill.
Dunno, to me it looks more like people just want to have enough to not need to work 40 hours/week anymore. "Thrill" is probably about billionaires like Musk, not people getting towards a million in saving.
Haven't heard anybody mention Tibia since I was in grade school. Grade 8, probably.
> Loss aversion in behavioral economics refers to a phenomenon where a real or potential loss is perceived by individuals as psychologically or emotionally more severe than an equivalent gain.