Statement 1: While higher income may raise happiness to some extent, the quest for higher income may reduce one's happiness.

The first statement highlights the relationship between income and happiness. It suggests that while having a higher income can contribute to an individual's happiness to some extent, the pursuit of higher income may actually diminish one's overall happiness.

Explanation:
- Income and Happiness: Research has shown that there is a positive correlation between income and happiness, particularly for individuals who are living in poverty or struggling to meet their basic needs. This is because having enough income to fulfill basic necessities and improve one's living conditions can enhance happiness.
- Hedonic Treadmill: However, the concept of the "hedonic treadmill" suggests that as people earn more money and their material wealth increases, their expectations and desires also tend to rise. This leads to a constant pursuit of even higher income and material possessions in a never-ending cycle. As a result, individuals may find it difficult to derive long-term satisfaction or happiness from their achievements, as they are constantly striving for more.
- Time and Stress: The quest for higher income often requires individuals to work longer hours, sacrifice personal time and leisure activities, and face higher levels of stress. This can lead to a decrease in overall happiness and well-being, as individuals may experience burnout, lack of work-life balance, and reduced time for relationships, hobbies, and self-care.
- Comparison and Social Pressure: The pursuit of higher income can also lead to a tendency to compare oneself with others, which can create feelings of envy, dissatisfaction, and inadequacy. As individuals strive to keep up with others' perceived success or material possessions, they may become trapped in a cycle of competition and comparison, which can diminish their happiness.
- Alternative Factors: It is important to note that happiness is influenced by various factors other than income, such as social connections, personal values, health, and overall life satisfaction. Therefore, solely focusing on income as a measure of happiness may overlook these crucial aspects.

Conclusion: In summary, while higher income can contribute to happiness to some extent, the relentless pursuit of higher income may ultimately reduce one's overall happiness. It is important to strike a balance between financial goals and other aspects of life that contribute to long-term well-being and fulfillment.

Aristotle and Buddha advised to follow a middle path between asceticism on one side and craving material goods on others.