Why Moderation Fails
Everyone is in love with moderation. We’re told to eat a “balanced meal.” Fox News proudly claims it is “fair and balanced.” Moderation dates back at least to the ancient Greeks who said “nothing in excess.” Today, the same idea holds but with a slightly different wording: “everything in moderation.”
While moderation is universal, it fails as a practical rule. Moderation has no clear-cut definition and it can be exploited. Fifty years ago, one soda per week might have been moderate; now, it’s more like one per day.
Societal-defined moderation inflates baselines as we “keep up with the Joneses” and it simultaneously justifies bad behavior. Rarely do people cut out soda. They instead make a moderate change to diet soda, a switch that might be counterproductive for weight loss.
Money moderation fails
A few years ago I had a chance to counsel a friend. He was in credit card debt and wanted to get out. His problem was clear: while he earned a good amount, he was spending all of it.
What did I advise him? Money is a touchy subject, so I told him to make some small, moderate changes. I went with the popular advice of using budgets and cutting back. Every penny counts, I said. I told him to tackle small debts first, for a psychological advantage. I told him to eat at less expensive places and buy fewer clothing items.
I didn’t tell him the truth for fear it would be “extreme” and that he’d be overwhelmed to follow it. But in judging his behavior, I failed him. To this day, he’s still in debt and feels guilty he can’t keep to his budget (a fault of budgets in general, not with him). But to his credit he has improved—moderately.
I should not have sugar-coated the task. I should have told him to do everything to save his credit and take control of his money. Rather than focus on helping him make small changes, I should have focused on getting him to want to save money. Then he wouldn’t need to budget. A simple and free expense spreadsheet would suffice to keep him on track.
I feel guilty about my role in moderation. I have since vowed to spread the truth, even if it is unpopular or unconventional, and that’s what motivates every article I write.
In conclusion
Realize that “everything in moderation” is typically an excuse to justify bad habits. Even worse is that most advisers who know better still offer moderate advice. They think clients won’t listen to “drastic” but necessary changes, so they just avoid it. When they do that, they have failed not only themselves, but society at large. Be weary about joining the crowd.
