Juan and Berta were millionaires who lost half of their life savings due to a bad investment decision. Which of the following best explains why after three years Juan and Berta seem to have suffered no permanent loss of happiness?

Question

Quizplus · Accepted Answer

The adaptation-level phenomenon refers to the tendency for people to quickly adapt to new circumstances and return to their previous level of happiness. In this case, Juan and Berta may have adapted to their new financial situation and adjusted their expectations accordingly, allowing them to maintain their level of happiness despite their financial loss.

Juan and Berta Were Millionaires Who Lost Half of Their