THE HOME ECONOMIST.

SHOPPING FOR HAPPINESSFor many of us, buying

expensive status sy 0 s is-a-way to ease stress. Call itretail therapy. .

BYBRETT GRAFFBRETT@THEHOMEECONOMISTCOM

Cy Cook's handbag collection - ,filled with creations by Hermes,Chanel and Valentino ~ is valuableenough to be considered by the

•courts a marital asset in her pend-ing divorce. But it's the very demise

of her marriagethat's got Cookitching to spend$2,600 on a LouisVuitton Vernis bag(her third, by theway) in pop pink.

"I will feel happi-GRAFF er," says the owner

of Rapunzel HairSalon in Miami, where servicessuch as hair extensions can cost cli-ents $3,000 a month. "If someonewalks into the salon with a greatbag, we take it for a promenade'around the place." ,

Cook doesn't mind saying whatresearchers are discovering: We'lleasily spend big money on expen-sive status symbols - which in Mi~ami include handbags, for sure, butalso luxury cars, watches and sun-glasses - when hoping to healemotional wounds because theysignal to others that we're valuable.What's more, say researchers, isthat when under stress - even fi-nancial stress - we're willing topay more for those goods than wemight normally.

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WALTER MICHOT/MIAMI HERALD STAFFIN1HE BAG: Cy Cook, owner of Rapunzel Hair Salon in Miami, knows exactly what will happen if 'she adds another high-end handbag to her collection: 'I will feel happier.'

For some people, experts saythat occasionally shopping tosoothe is fme.

But for others, there are betterfmancial and psychological boostseasily within reach.

"There are 100 ways to restoreyour self worth," says Nathan Pet-tit, an assistant professor at NYU'sStern School of Business. "You canfight back. You can reconfigurewhat that statement looks like. Butanother very common way is to

buy things that signal good thingsabout you." . -,

In .experiments, he falsely toldhalf a group it scored well on a testand the other half it answeredpoorly.

After they were given theirscores, member of both groupswere asked to buy jeans and given achoice of how they would pay.Those in the supposedly high-scoring group selected what the re-searcher- called an "everyday

brand" and were more likely to paywith cash. Those in the .low-scor-ing group were more likely tochose designer jeans and pay withcredit cards - and to pay full re-tail. .

Pettit says that while buying lux-ury items may for a moment repairour egos, we still can't bear the psy-chological pain of parting with ourcash. So instead we'll whip out our

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Shopping.for happiness, II

charge cards - which 'could have expensive in-terest rates- and post-pone the payment., "Credit allowsus a pain-free route, to consumethings that restore ouregos," he says. ','So y<\uhavethree thingsgoingon:you're willing to buy ex-pensive things, willing topay more for them, and al-so use a more expensivemethod ofpayment."

In additionto highinter-est rates,cardbalancescancost you a good creditscore, warns Ellen Siegel,an independent fmancialadvisor in Miami. Whenthat takesahit,futurelend-ers hike their rates, So ifyou can't resist a purchase,try at the very least tospend under $0percent of coli d be making them ambitions. That will re-your credit limit. ' spend more." - verse,the behavior and re-

"It'sa quirkything in the So is that mentally. . store your self esteemcredit world," Siegel'says, healthy?Only if it doesn't whilekeepingyour fmanc-"but it's better to have lots cause other problems, es in order.of cards and smallbalanc- such as further deteriora- "Don't turn to shop-es than to consolidatepur- tion of your finances or ping,"she says. "Turn tochases." tension in a relationship someone who.will rein-

Bigcredit card balances, with a spouse who might force your value to you."meanwhile,and also stock be trying to save money, But Pettit, who per-market drops that damage saysMichaelRappaport, a formed the research, saysyour portfolio, can also .Miami clinical psycholo- simply by being aware ofeasily - and negatively- gist. If that's the case, he your decision to shop foraffectyour ego,saysLaura suggests instead exercis- happinesswillmake it lessRowley,theauthorofMon- ing, learning a language, likely you'll do so. Andey & Happiness and a col- taking a pottery class,and even if it doesn't,you'llex-umnist with AOL'sDaily essentially becoming pro- ercise better judgmentFinance.com. And we're ficient at something you about prices if you forcejust as likely,she says, to enjoy. yourself to pay in cash..engage in retail therapy "Happiness - like de- That's how Cook willwhen were feeling blue pression - is contagious," pay for her handbagas sheabout our fmances. Rappaport says, -"so the worksto rebuildher credit I

"Ifyou think that having most important thing is to - though she is using a 'a certain amount in retire- be around happy people." lay-awayplan. But she re- ,ment savings will make' Actually,Money & Hap- fuses to give up the retail"you feel free and then you piness author Rowleysays. rush. I

watch it disappear, well, ,the best people to be -r told my son, 'I bought-guesswhat,"she says,."You around when you're about that bag,' " she says. "Andwon't feelworthy.The lack to make a status purchase he said,'Mom,I'mgladbe-of control people are feel- are'those who can remind causeyou'rehappierwhening about the markets youofyourother goalsand youbuy stuff:"

• HOME ECONOMIST, FRPM lC

Inexpensive alternativesExperts-say occasionallysp,ending on status, to sootheyour ego lTlignt be fine if it's affordable, BuUhey. alsopoint out you'll get plenty of bang for your buck by .:investing in yourself. Here are some ideas that mightexpand what you say. not what you wear.• Sing and dance: Broadway Musi£al Theatre is a youthprogram putting on professional productions and of-fering weekly workshops for adults (many of themmoms) who make surprise and spectacular appearanc-es, wwwbroadwavmusiceltheatre.corn• Convert your conversation: Here in Miami, everyonespeaks Spanish, English or a combination of the two, soimagine shining with some French. The Alllencefran-calseSouth Florida is interested in fostering the lan-guage of love by hosting both classes and events,www.afmiamLorg' ,• Slim down, stress less: Baptist Health of South Flori-da has classes that can help you control your lifestyle.

, with a wide range of subjects that include losingweight, raising boys. managing anxiety and even writ-

, ing, wwwbaptisthealth.net .