Morgan Housel

And some people were just – it was such a material culture then and now that like when that fake money flew around, it was just – everyone was just spending it on lifestyle, just inflating everything.

And I realized like who is happier?

it's not even close that it was the people in the middle-class mountain town were happier because it was so much easier to keep your expectations in check.

You're like, it was so easy to be like, look, I drive a,

a three-year-old Ford pickup, and the rich guy drives a two-year-old Ford pickup.

And that's the stratification.

The stratification was this big.

And then in LA, the stratification was 10 miles long.

And so even if you are a dentist doing well in LA, you're a dentist making 300 grand a year, driving a Mercedes, you're absolutely amazing at crushing it.

But no dentist in LA making 300 grand a year feels like they're crushing it because they are driving past 30,000 square foot mansions and Rolls Royces and Lamborghinis and whatnot.

And so by comparison, even if you're not socializing with those people, you're aware of it.

But when you start socializing with those people, then truly your expectations just blow off the charts.

It's very difficult.

It's possible, but it's very difficult to be a dentist making 300 grand and be friends with someone who's living in a 30,000 square foot mansion with a private jet.

And have it not impact your expectations.

Very difficult to do.

I think what you want to optimize for is contentment.

And when you socialize with people who are dramatically wealthier, living a better, a bigger life than you, it is much harder to remain content.

possible but harder to remain content.

And so being careful who you socialize with, I think is very important.