“Money is only a tool. It will take you wherever you wish, but it will not replace you as the driver.”
– Ayn Rand
“It (Bhutan) is near Africa,” I’d answer, to throw them off the trail. “It’s where all the disposable lighters come from.”
― Linda Leaming, Married to Bhutan
HAPPINESS AND THE COUNTRY OF BHUTAN
Bhutan is one of the happiest countries on earth.
But it is not in Africa. Bhutan is in Asia in the Himalayas–a tiny country surrounded by India on one side and China on the other. It is about the size of Indiana. Its population totals less than 800,000 persons.
And, as you may have gathered, it remains one of the world’s most isolated countries.
I have been privileged to go there. When I went, the government was trying to complete a road that would connect the country with the outside world. At the time, you could fly in but not drive in.
Once there, land travel can be treacherous. Traveling on two-lane winding roads with steep drops on one or both sides is not unusual.
Its varied topography contributes to its isolation. The topography is mountainous. Rich but largely inaccessible lands are south, while gigantic Himalayan peaks at the north on its border with China. Gangkhar Puensum is located there and is the tallest unclimbed mountain in the world at 24,836 feet high.
TRADITIONS
One of the most significant differences between the US and Bhutan is culture and tradition. These run deep and are highly valued by Bhutanese society. The country is the world’s only Buddhist Kingdom, and nearly 70 percent of the people are Buddhist. Buddhism was established there about 1,200 years ago. The government supports Buddhist institutions such as monasteries, cultural sites, and various programs to preserve Bhutan’s unique heritage.
Traditional dress is also encouraged to show respect for the culture. Men wear a pajama-like garment called a Gho that covers them to about the knee or mid-calf. Women dressed in traditional garb wear the Kira, an ankle-length dress. It is made of a rectangular piece of woven fabric. While we saw a fair amount of western clothing in Bhutan, most people still dress traditionally.
Finally, Bhutan’s environment is highly valued by those who live there. The country is the only country in the world that is carbon positive—which means that it absorbs more carbon dioxide through its forested areas than its human activities emit.
The government was in the process of converting all vehicles to electric power when we went.
BHUTAN IS NOT RICH
Most researchers have concluded that money and happiness are only loosely connected. Bhutan proves that.
Happy as it is, Bhutan is not a wealthy place. Most people are very poor by US standards.
However, it has usually ranked high in happiness in worldwide surveys over many years. This result occurs because their system attempts to balance material wealth with national joy and then tries to harmonize the two.
BHUTAN AND GROSS NATIONAL HAPPINESS (GNH)—WHY MONEY IS ONLY PART OF THE EQUATION
Bhutan’s GNH measure concentrates on the larger picture, not just the financial aspects of life. So, it is not like Gross National Product (GNP), which is solely an economic measure. Most countries only calculate GNP.
Royalty developed many of the GNH policies. King Jigme Singye Wangchuck invented the term in 1972. The notion gained traction because the royals led by example to promote the concept. In 2007 the King renounced much of his material wealth and supported democracy instead of a monarchy.
HOW BHUTAN DEFINES HAPPINESS
GNH has four pillars:
- sustainable and equitable socio-economic development;
- environmental conservation;
- preservation and promotion of culture; and
- good governance.
Overlaid with the four pillars are the nine domains of GNH. These are psychological well-being, health, time use, education, cultural diversity and resilience, good governance, community vitality, ecological diversity and resilience, and living standards.
Those measures are not always easy to define or quantify.
WHAT MAKES PEOPLE HAPPY, AND MONEY’S ROLE IN HAPPINESS
What does the research say about what makes people happy? A Harvard study over 80 years concluded that relationships were the most crucial aspect of happiness, not money. Those relationships can be between family members, friends, and work associates.
Other studies also underscore the importance of relationships but note that health, connection to culture, good habits, and spiritual connections also matter.
In other words, what Bhutan tries to achieve aligns well with what researchers tell us engenders happiness.
LESSON 1 FROM BHUTAN: TAKE THE TIME TO FIGURE OUT WHAT MAKES YOU HAPPY–AND DEFINE SOME GOALS TO ACHIEVE IT.
Happiness is hard to achieve if you don’t know what makes you happy in the first place.
Many people know what makes them unhappy. But they can’t always say what gives them joy. So you must give the Bhutan government credit for asking the question. You may or may not agree with their approach, but many people don’t ask questions or take the time to define the issue.
Lessons for readers
The government took the time to think about and organize its goals. That exercise promotes happiness and is something to consider for yourself and your family.
LESSON 2: EMPHASIZE MENTAL AND PHYSICAL HEALTH
Note in the pillars and domains that environmental conservation starts off the list. Put differently, Bhutan works on a healthy and unpolluted environment for its citizens. That provides a good base for good health for everyone who lives there.
Psychological well-being and physical health are noted too.
Lessons for Readers
Bhutan’s emphasis makes sense. Health and money concerns often intersect. For example, one study showed that increasing air pollution causes greater unhappiness, and the physical and financial cost is one of the reasons. Remember that medical bills are the number one cause of bankruptcy in the US.
LESSON 3: WORK TOWARD SUSTAINABLE SOCIO-ECONOMIC DEVELOPMENT
Yes, it is essential to make money. However, if you make it at someone else’s expense or cause damage with your money-making activities, that is a problem.
So, obtaining reliable, sustainable income matters. Therefore, Bhutan emphasizes the development of industries like hydroelectric power, which provide consistent, sustainable income.
On an individual level, consistency helps citizens feel secure about their futures.
Lessons for readers
To me, reliability often takes away uncertainty. In turn, that promotes security and happiness. Here are two ways to gain reliability in your financial life and eliminate some uncertainty; see here and here. From an economic perspective, those characteristics help make individual income more sustainable and consistent.
LESSON 4: INCREASE LIVING STANDARDS
Bhutan has risen from one of the poorest countries in the 1980s to around mid-pack in world rankings. That progress has fueled the rise in the country’s living standards. Moreover, with the increasing education of the population, there is every reason to believe that that progress will continue.
Lessons for readers
It is vital to move forward and avoid being stagnant. That is why many MMH readers work to further their income and education. They never stop learning or moving forward.
LESSON 5: ETHICS, CULTURE, AND SPIRITUALITY
Strong connections to society and cultural traditions help to achieve happiness.
Lessons for readers
MMH is a money blog. However, you cannot always separate money issues from your personal characteristics or spiritual and cultural background. In my experience, successful people know where they come from, are grounded, and understand what is essential and matters most.
Conversely, many who are disconnected from their values have money and other issues that crop up in their life.
Disclaimer: consult with a financial fiduciary before taking any steps outlined here. Not all advice may be suitable for your circumstances or investment style.
Primary Image: Gurav Bagdi
Licenses: Unsplash
Other Images: Raimond Klavins Pema Gyamtsho
AUTHOR’S NOTE: One reader suggested I write about my travels and note some of the money aspects. I settled on Bhutan, which is fascinating, both culturally and economically.
So, this is an experiment. I hope you enjoyed the post!