Why does Naval state that 'reducing desire' is the path to happiness?

Okay, let's talk about Naval's truly fascinating perspective.

Hey, that's a really great question, and it was one of the most mind-bending points for me too when I first encountered Naval's ideas. Many people's first reaction is: "Reduce desires? Doesn't that mean becoming a loser with no aspirations? Where's the fun in life then?"

This is actually the biggest misconception. What Naval means by "reduce desires" isn't about abandoning all goals and pursuits. It's about getting off the constant "happiness treadmill".

Let me break it down in plain terms.

1. Desire: The Unhappiness Contract You Sign With Yourself

Naval has a brilliant analogy. He says: "Desire is a contract you make with yourself to be unhappy until you get what you want."

Think about it carefully. Isn't this true?

"I'll be happy after I buy that car." (Signed contract: Unhappy until I get the car)
"I'll be happy after I get that promotion and raise." (Signed contract: Unhappy until promoted)
"I'll be happy after I get that new phone." (Signed contract: Unhappy until the phone arrives)

See, every time you create a desire, you dig a chasm between your "present self" and that future "happiness". You tell yourself you must cross this chasm first to be happy.

The problem is, the world always has newer phones, higher positions, cooler cars. Your desire list keeps growing longer, and you sign more and more "unhappiness contracts". The result? You're perpetually "on your way to happiness," but you never actually arrive at the "destination of happiness".

2. The "Happiness Treadmill" Effect: Why Aren't You Happy Even After Getting What You Wanted?

You've probably experienced this: something you longed for intensely, like a new computer or a bag, brings real excitement for the first few days after you get it. But soon, that joy fades. Things feel mundane again, and you start chasing the next thing.

This is what psychology calls "Hedonic Adaptation". I like to call it the "happiness treadmill".

You think you're moving forward: You keep acquiring things—wealth, status, possessions are increasing.
But you're actually jogging in place: Your happiness level spikes briefly after you get these things, then rapidly drops back to its original baseline.

It's like being on a treadmill: no matter how fast you run, the scenery doesn't change. Reducing desires means intentionally slowing down the treadmill's speed, or even stepping off entirely. This gives you a chance to look around and appreciate what you already have, right here and now.

3. The Happiness Naval Advocates Is a "Default State"

Naval believes, "Happiness is not something you add by satisfying desires; it's something you reveal by reducing desires." That might sound tricky, so let me give you an analogy.

Imagine your inner self as a calm, clear lake. This is happiness's "Default State".

Desires are like throwing stones into the lake: Each desire is a small pebble. You throw it in—"plop!"—and it creates ripples. These ripples are the anxiety, restlessness, and struggle you generate trying to satisfy the desire.
More desires, more disturbance: If you keep throwing stones incessantly, the whole lake surface becomes choppy and chaotic. You can't feel the underlying calm at all.
Reducing desires means stopping throwing stones: When you cease throwing stones endlessly, the lake surface gradually calms down. That clear, peaceful state naturally reveals itself.

Happiness, then, isn't something you have to "find." It's always there. You've just obscured it with your endless stream of desires.

So What To Actually Do? Does It Mean Giving Up?

This is absolutely crucial! Naval is not telling you to give up or become an aimless person. His meaning is:

Choose your desires carefully: Don't want everything. Slash your desire list from 100 items down to 1 or 2 items. Pursue only what you truly, deeply want at your core—like creating a great work of art, building a profound relationship, or mastering a complex skill. Ruthlessly cut out the ordinary desires driven by trends, social comparison, or triviality (like what car your neighbor got or what bag your colleague bought).
Enjoy the journey, not just the destination: While pursuing those 1 or 2 core desires, learn to enjoy the process itself. For example, if you want to be an excellent painter, you should enjoy the feeling of every single brushstroke, instead of constantly worrying, "When will I become famous?" This way, your happiness no longer depends on that distant outcome; it exists within your present actions.
Do more things "for no reason": Go for a walk, not to count steps; read a book, not to post it on social media; chat with family, not to check a box. Simply experience the inherent beauty of these activities themselves.

To summarize in the simplest terms:

Naval tells us we've had it backwards all this time in our pursuit of happiness. We thought happiness meant addition (getting more), but in reality, true, lasting happiness comes from subtraction (wanting less).

Reduce those contracts guaranteeing your "present unhappiness". Cut out the trivial desires forcing you to run exhausted on the treadmill. You'll find happiness emerges naturally, like rocks revealed when water recedes (水落石出 - shuǐ luò shí chū / the truth is revealed).

This is a mindset that requires deliberate practice. But once you start trying, even by reducing just one insignificant desire, you'll feel the weight lift a little from your shoulders, and your inner world will become a bit calmer.