> Contrary to the prediction of equilibrium location theory, we find a large negative effect of commuting time on people’s satisfaction with life. People who commute 23 minutes (one way), which is the average commuting time in Germany, would have to earn 19 percent more per month on average in order to be fully compensated.

When I worked in Manhattan, I spent the extra $1,000/mo. to live within a couple blocks of work, rather than a 45-min commute away off in Brooklyn like most people I knew. It's expensive to live next to work.

But here's the thing: I always felt guilty about it. That it was "unnecessary" money to spend, even though I had it. That it was irresponsible.

However, I knew from (painful) experience it was still the rational thing to do. Once you subtract time spent sleeping, at work, and "maintenance" (shower, tidying, etc.) you really only have maybe 5 hours a day of personal time max. If you commute 45 min each way... that's only 3.5 hours. And when you factor in that you need a couple hours to relax, eat dinner, etc. -- that's the difference between having time left over for a rewarding hobby or not, which qualitatively changes your life in a fundamental way, and keeps you sane at work. Whether it's going to the gym regularly, reading books, doing yoga or dance, whatever it is.

But it's still so hard to mentally justify paying such a premium for your own leisure time. It's really easy to tell yourself, no -- I'll save money, commute, and I'll still manage to find the time, it'll be enough... because you're optimistic you can have it all. But you can't. You'll lose your hobby or sleep or your happiness.