Joe received a promotion with a large pay increase. He was very excited about the possibility of the promotion, and he thought it would change his whole life. Although it did lift his mood for several weeks, Joe went back to the same level of happiness that he had always had. Joe's reaction could best be explained by the

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Joe's reaction is best explained by the hedonic treadmill, which suggests that individuals have a set point for happiness and that external events, such as a promotion and pay increase, may temporarily elevate happiness but eventually return to the original level. The other options (positivity effect, broaden and build theory, durability bias) do not fully explain Joe's reaction to the promotion.

Joe Received a Promotion with a Large Pay Increase