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Over the last five years my lab has explored the hypothesis that people suffering from major depressive disorder show pathological decision-making. In a series of experiments we demonstrate that the psychological “reference point” against which all hedonic experience is benchmarked is represented in the Anterior Cingulate Cortex of the Monkey. In parallel work, Helen Mayberg’s group has shown that the severity of a patient’s depression can be decoded from activity in this same area. We used this information and foraging theory to develop a behavioral tool for measuring the reference point in humans and found that a 3 minute version of our task can be used to diagnose depression with the same accuracy as a 60m clinical interview. The implications of this finding for our understanding of the mechanism of depression will be discussed.