Is there a woman around who hasn’t erased a blue mood with a little “retail therapy”? And, actually, I think a lot of men do the same thing, though perhaps they don’t talk about it as much. Buying yourself something new can boost your spirits — and now research shows that there is, in fact, a real connection. People spend more money when they’re feeling bad… a finding we should all be attuned to and wary of as we face the most challenging economy in many years.
At Carnegie Mellon University in Pittsburgh, doctoral student Cynthia E. Cryder and her colleagues studied the effect of mood on spending by showing two different kinds of movie clips to different groups. Those who watched a sad movie (The Champ, about a down-and-out boxer) were willing to pay nearly four times as much for a product (in this case, a water bottle) as those who enjoyed scenic documentary footage of the Great Barrier Reef in Australia. These findings were published in the June 2008 issue of Psychological Science.
People tend to focus more on themselves when they are sad, Cryder explains, which drives this effect. Researchers found that it was the combination of feeling sad and being self-focused that led to the greatest increase in spending. The next phase of research will try to more precisely identify the nature of this interaction between emotions and economic decisions, says Cryder.
Especially now, with more people feeling the pinch of trying to make ends meet, it’s important to understand that being down about finances or life may make you more likely to spend more than you should… and more than you’d spend if you were in a better mood. With credit card companies battling for your business, it seems easy to just “charge away” your problems but those bills must somehow get paid. Rather than drowning your sorrows in credit card debt, take charge by doing things that will elevate your mood. Exercise, of course, is always a good way to reduce stress and increase energy. Another strategy: Consider keeping a gratitude journal, in which you consciously focus on things to be thankful for (your health, a delicious dinner your spouse made, the individual freedoms we have in the US or simply a beautiful day). Take a walk with a friend or a young grandchild, and really focus on the conversation. Do everyday chores with “conscious intent,” for instance making the effort to notice the fresh smell as you put away the laundry or the satisfaction of simply replacing (finally) the light bulb in the hallway, where it has been so dark. Meditate, breathe deeply, count your blessings… you’ll feel good and spend less, a win-win in any economy.
