Placing a lot of importance on money for the wrong reasons may be harmful
Some people place a great deal of importance on money. Other people do not seem to care too much about it. Regarding stress, and well-being in general, who is worse off? Although studies have shown that placing a relatively high degree of importance on money can be negatively associated with well-being, they have not really considered the motives people have for making money. Researchers from the University of Maryland recently published a study addressing this issue.
What was the research about?
Across two studies, 266 business students and 145 entrepreneurs responded to questionnaires measuring motives for making money, the relative importance of money or financial goals (compared to other goals), and well-being. The results suggest that placing a relatively high degree of importance on money may not necessarily lead to less well-being. The motives people have for making money seem to account for the negative association between the relative importance of money and well-being. Specifically, the results suggest that placing a relatively high degree of importance on money is negatively associated with well-being for people who want to make money to show off, seek power, or overcome self-doubt but not for people who do not want to make money for these reasons.
Why should it matter to me?
People who place a relatively high degree of importance on money may want to stop and think about why they want to make money because it may have a negative impact on their well-being.
Source: Srivastava A., Locke, E. A., & Bartol, K. M. (2001). Money and subjective well-being: It's not the money, it's the motives. Journal of Personality and Social Psychology, 80, 959-971.