The Happiness Industry

1. The pursuit of happiness has become a scientific and political obsession

Since the World Economic Forum (WEF) was founded in 1971, its annual meeting in Davos has served as a useful indicator of the global economic zeitgeist.

Happiness as economic priority. The 2014 WEF meeting in Davos marked a significant shift, with over 25 sessions focused on wellness and happiness. This reflects a growing trend where governments, businesses, and global elites increasingly view happiness and well-being as key economic and political priorities. The integration of Buddhist monks, neuroscientists, and happiness experts into high-level economic discussions signals a fundamental change in how success and progress are measured.

Quantifying the intangible. This obsession with happiness has led to the development of various tools and metrics to measure and quantify subjective well-being:

• National well-being indicators published by countries like the UK, US, and France
• Workplace "chief happiness officers" and specialized consultants
• Neuroscientific studies claiming to identify the brain's "bliss" areas
• Smartphone apps for personalized mood tracking

2. Utilitarianism and behaviorism shape modern approaches to well-being

Bentham's vision of a scientific, utilitarian politics was initially motivated by an urge to cleanse legal process and punishment of the abstract nonsense that he believed still polluted the language of judges and politicians.

Bentham's utilitarian legacy. Jeremy Bentham's philosophy of utilitarianism, which posits that the right action is the one that produces the greatest happiness for the greatest number, has profoundly influenced modern approaches to governance and well-being. This thinking underpins many current policies and practices aimed at maximizing societal happiness through scientific measurement and management.

Behaviorism's influence. John B. Watson's behaviorism, which focuses on observable behaviors rather than internal mental states, has shaped how happiness and well-being are studied and manipulated. This approach has led to:

• A focus on external stimuli and responses
• The development of behavior modification techniques
• An emphasis on quantifiable outcomes rather than subjective experiences

3. Economic theories increasingly incorporate psychological insights

Jevons's landmark contribution was to plant this vision of a calculating hedonist firmly in the marketplace.

The psychologization of economics. William Stanley Jevons revolutionized economic theory by introducing psychological concepts of pleasure and pain into models of consumer behavior. This shift marked the beginning of a trend where economic theories increasingly incorporate psychological insights to explain and predict human behavior in markets.

Behavioral economics emerges. The late 20th century saw the rise of behavioral economics, which combines psychological research with economic theory:

• Challenges assumptions of rational decision-making
• Explores cognitive biases and heuristics in economic choices
• Informs policy interventions like "nudges" to influence behavior
• Provides new tools for businesses to understand and manipulate consumer psychology

4. Work and management practices evolve to optimize employee happiness

Mayo was recommending was the industrial parallel to this. An open, conversational relationship could be conducted in such a way as to bring about a change in the worker's mentality, and a consequent change in their physical performance.

From scientific management to human relations. The evolution of management theory reflects changing attitudes towards worker happiness and productivity:

• Frederick Taylor's scientific management focused on efficiency through standardization
• Elton Mayo's Hawthorne studies revealed the importance of social factors in worker motivation
• Modern management increasingly emphasizes employee engagement and well-being

The well-being industry. A growing industry has emerged around workplace happiness and productivity:

• Corporate wellness programs and "chief happiness officers"
• Stress management and mindfulness training
• Workplace design focused on employee satisfaction
• Performance management systems incorporating well-being metrics

5. Social media and big data enable unprecedented psychological surveillance

What we witness, in the case of a World of Warcraft addict, a social media addict or, for that matter, a sex addict, is only the more pathological element of a society that cannot conceive of relationships except in terms of the psychological pleasures that they produce.

Digital panopticon. Social media platforms and digital technologies have created vast reservoirs of data on human behavior and emotions, enabling unprecedented levels of psychological surveillance:

• Sentiment analysis of social media posts
• Facial recognition technology to detect emotions
• Predictive algorithms based on online behavior
• Quantified self-movement and personal tracking devices

Commodification of social relations. The data generated by our digital interactions is increasingly used for commercial and political purposes:

• Targeted advertising based on emotional states
• Political campaigns tailored to psychological profiles
• Social credit systems that quantify and reward behavior
• Gamification of social interactions to increase engagement

6. The medicalization of unhappiness serves economic and political interests

As happiness economics grew over the course of the 1990s, there emerged various strategies for getting around this problem. The goal was to access happiness as we actually experience it, rather than as we say we experience it.

Redefining unhappiness as illness. The expanding definition of mental disorders, particularly depression, has led to the medicalization of normal human experiences:

• Rapid growth in antidepressant prescriptions
• Expansion of diagnostic criteria in the DSM
• Emphasis on biological explanations for psychological distress

Economic incentives. The medicalization of unhappiness serves various economic interests:

• Pharmaceutical industry profits from expanding markets
• Workplace productivity framed as a health issue
• Health insurance companies influence diagnostic practices
• Government policies focus on individual "resilience" rather than social change

7. Critical perspectives challenge the commodification of well-being

To deny this is to exacerbate the problem for which happiness science claims to be the solution.

Questioning the happiness imperative. Critics argue that the current obsession with happiness and well-being:

• Ignores structural causes of unhappiness like inequality and precarity
• Places undue burden on individuals to manage their own well-being
• Reduces complex human experiences to simplistic metrics
• Serves economic interests rather than genuine human flourishing

Alternative frameworks. Various critical approaches offer different perspectives on well-being:

• Community psychology emphasizes social context and empowerment
• Critical psychiatry questions the medicalization of distress
• Social epidemiology examines societal influences on mental health
• Philosophical critiques challenge utilitarian assumptions about happiness

8. Alternative approaches emphasize empowerment and social context

If we understand concepts such as 'critique' and 'complaint' properly, we will recognize that they involve a particular form of negative orientation towards the world, that both the critic herself and her audience are aware of.

Beyond individualism. Alternative approaches to well-being emphasize:

• Social and economic determinants of happiness
• Collective action and community empowerment
• Democratic participation in shaping living and working conditions
• Recognition of structural inequalities and power dynamics

Reclaiming agency. These perspectives seek to restore individual and collective agency in the pursuit of well-being:

• Emphasizing the value of critical thinking and dissent
• Promoting participatory research methods
• Advocating for structural changes rather than individual adaptations
• Recognizing diverse cultural conceptions of the good life

Last updated: April 23, 2025