Which of the following is true about the observed relationship between happiness and income? Which of the following is true about the observed relationship between happiness and income? There is no discernible relationship between income and happiness. The relationship displays an inverse U shape, with happiness first rising with income, but once a subsistence level of income has been reached, more income actually makes us less happy. Happiness increases with income at a constant rate Happiness rises with income, but these increases level off once people escape extreme poverty