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Depression and Finances: Can Money Buy Happiness?

Can Money Buy Happiness?

We’ve spoken a bit in this blog about how the brain can effect our financial decisions, but what about hour our financial health can effect our mental health?

Make Love, Not Debt bills itself as a Relationship Finance blog. It’s a bold statement, but at the same time an interesting perspective to take. Recently, the author has taken to speaking about depression, as he has been diagnosed with it.

There were two posts that caught my eye on the topic. The first “Depression is expensive, denial much more so.” deals with the idea that people often try to buy their way out of depression. This touches upon what some of the other blog posts here have discussed. The most telling post for me though was “Depression and Finances: Socioeconomic Status“.

What really jumped out at me from that post was this quote: “In one British study, actual poverty or unemployment increased the duration of any existing depression, but it did not appear to play any important causal role. Feelings of financial insecurity, however, both caused and prolonged depression.

Think on that for a second. It really is an immensely freeing statement. If you’re feeling depressed, and your feeling financially insecure, the two could be related!

So, to tackle the question that started this post, can money buy happiness? No. Not directly. However, managing your money and eliminating feelings of financial insecurity seems to help eliminate depression, so I think that’s as good of a reason as any to get your finances in order.