Measuring Socio-economic Factors and Sensitivity of Happiness

There is significant variation in average subjective well-being across countries. What makes people in some countries happier or more miserable than others? In this study, we decompose the difference in average subjective well-being across countries into a comprehensive set of socio-economic factors along with cross-country difference in sensitivity of happiness in order to answer the question. While an individual’s subjective well-being is affected by socio-economic status, every individual does not necessarily draw the same level of subjective well-being from a given condition of life because of different personal characteristics. Sensitivity of happiness is an umbrella term capturing such factors that are not reflected by socio-economic conditions. We introduce Data Envelopment Analysis (DEA) approach to estimate a happiness function and specify the sensitivity score for each country in a sample. We draw on a comprehensive set of well-being indicators released by the Better Life Initiative of the OECD, along with measures of income inequality. We find that the health factor and sensitivity term play the largest role in generating variation in subjective well-being. Even within countries, the average level of subjective well-being varies between different population groups. Drawing on a set of indicators that assess the life circumstances of different groups within each country, our decomposition formulation allows for a full explanation of the differences in average life satisfaction between the groups. We investigate the differences between men and women, and high income earners and low income earners.     

Exploring Predictors of Subjective Well-Being in Ghana: A Micro-Level Study

Subjective well-being has been studied by social scientists for decades mostly in developed countries. Little is known about determinants of subjective well-being in developing countries and more particularly in Sub-Saharan Africa (SSA). Using 2005–2008 World Values Survey (n = 1,533) this study adds to existing literature on well-being in developing countries focusing on Ghana. The paper explores the predictors of two measures of subjective well-being—happiness and satisfaction in life at micro-level in Ghana. The analyses are divided into two main sections. The first part describes the distribution of happiness and satisfaction in life among Ghanaians. The second section elucidates factors influencing the selected measures of subjective well-being separately. The data reveal that both happiness and life satisfaction among Ghanaians are shaped by multitude of factors including economic, cultural, social capital and health variables. Relatively, perceived health status emerged as the most salient predictor of both measures of well-being. Besides religiosity, all the religion variables emerged as significant predictors of how Ghanaians appraise their own well-being. Equally, income, ethnicity and social capital variables emerged as predictors of happiness and life satisfaction at micro-level in Ghana. Policy implications of the findings are discussed alluding to multidimensional approach to well-being promotion in the country. The outcome of the study also establishes the fact that factors predicting subjective well-being at the micro level vary in SSA context compared to the developed world.     

Happiness and Domain Satisfaction in Taiwan

Happiness and life satisfaction are two empirically correlated but nobreak conceptually different measures of well-being. As an emotional state, happiness is sensitive to sudden changes in mood, whilst satisfaction is regarded as a cognitive or judgmental state. Using estimations from two empirical models, the aim of this study is to examine the determinants of happiness and satisfaction amongst nobreak Taiwanese people in a number of life domains. First of all, we attempt to investigate the individual characteristics of happiness by using an ordered probit model. Secondly, using ordinary least squares, we include an individual's value or attitude variables as nobreak determinants of the level of satisfaction with different life domains.Our results suggest that higher income is associated with a higher level of subjective well-being. Measures of comparison income are significantly negatively correlated with the reported level of happiness and job satisfaction, which supports the hypothesis that well-being depends on income relative to a reference group. Consistent with the results from other countries, married people report a higher degree of happiness and satisfaction, whilst the past experience of unemployment significantly reduces subjective well-being. There is little gender difference in happiness or satisfaction with different domains. Furthermore, individual's personal values have strong effects on both marital satisfaction and job satisfaction. The findings of this paper confirm that the effects of personal characteristics are fundamentally different in terms of happiness and satisfaction with specific domains of life.     

Are Happiness and Life Satisfaction Different Across Religious Groups? Exploring Determinants of Happiness and Life Satisfaction

This study explores whether different religions experience different levels of happiness and life satisfaction and in case this is affected by country economic and cultural environment. Using World Value Survey (from 1981 to 2014), this study found that individual religiosity and country level of development play a significant role in shaping people’s subjective well-being (SWB). Protestants, Buddhists and Roman Catholic were happier and most satisfied with their lives compared to other religious groups. Orthodox has the lowest SWB. Health status, household’s financial satisfaction and freedom of choice are means by which religious groups and governments across the globe can improve the SWB of their citizens.     

Family well-being is valued more than personal well-being: A four-country study

Well-being is recognized as a fundamental human goal and a universal human aspiration. However, some cross-country studies suggest that the desirability of the most often studied concept of well-being—personal life satisfaction—varies across countries, and we know little about the desirability of other types of well-being. Extending this novel area of research, we argue that focusing on the family (as compared to the individual) as the subject of well-being may be another important distinction in how well-being is conceptualized and valued. With data collected in four countries that tend to occupy different positions in rankings of personal life satisfaction (i.e., Canada, Colombia, Japan, and Poland), we document that, irrespective of cultural context, family well-being is valued over personal well-being. These findings suggest that policy makers and scientists may need to pay more attention to family well-being than they currently do.

     

Individual and Contextual Factors of Happiness and Life Satisfaction in a Low Middle Income Country

Understanding individual and contextual factors of happiness and life satisfaction in a low- and middle-income country setting are important in the study of subjective well-being. This study aims to examine individual and contextual factors of happiness and life satisfaction in one of the happiest countries in the world: Indonesia. Data comes from the Indonesian Family Life Survey 2014 (N _individual = 31,403; N _household = 15,160; N _district = 297). Results from a three-level ordered logit model show that factors of happiness and life satisfaction are beyond individual factors. Happiness and life satisfaction are also strongly associated with factors within an individual’s household and at the district government level. Individuals living in households with better economic welfare are happier and more satisfy. Poor health and unemployment have a detrimental effect on happiness and life satisfaction. Individuals living in districts whose governments’ better deliver public services are happier and more satisfy. In contrast, those living in areas with conflict and violence is less happy and satisfy. Individual religiosity and community social capital in the form of indigenous tradition benefit individual happiness and life satisfaction.     

The Impact of Culture on Well-Being: Evidence from a Natural Experiment

This paper examines the effect of culture on subjective well-being. By exploiting the natural experiment of migration we are able to separate the effect of culture (intrinsic cultural disposition, values, beliefs, norms) from other extrinsic institutional, economic and social factors. Using data from five rounds of the European Social Survey we find that holding constant the external environment (living in the same residence country) and controlling for the important socio-demographic attributes, immigrants from countries with high levels of life satisfaction report higher life satisfaction than immigrants from countries with low levels of life satisfaction. The effect of satisfaction in the birth country lasts across generations and is stronger for immigrants who are more attached to the culture of their birth country. Since any observed differences among the immigrants is their cultural background (their birth countries), the results can be interpreted as the effect of culture on life satisfaction. Our results suggest that besides economic and social variables, institutions and personal characteristics, cultural factors play an important role in satisfaction.     

Happiness is a warm abstract thought: Self-construal abstractness and subjective well-being

Research investigating the relationship between self-construals and subjective well-being has traditionally focused on understanding how dimensions such as positivity–negativity and internality–externality relate to well-being. This paper presents two studies that investigate how a potentially important yet unexamined dimension, the abstractness versus concreteness of people's self-construals, is related to life satisfaction. Study 1 showed that happier people tend to think about themselves with higher level of abstraction than less happy people, even after controlling for the overall valence and internality of their construals. Study 2 found that people randomly assigned to think about themselves in abstract rather than concrete terms reported greater pre- to post-manipulation increases in reports of life satisfaction. Implications of these findings for understanding individual differences in well-being are discussed, and directions for future research are presented.     

Well-Being and Trust in the Workplace

This paper uses life satisfaction regressions based on three surveys in two countries (Canada and the United States) to estimate the relative values of financial and non-financial job characteristics. The well-being results show strikingly large values for non-financial job characteristics, especially workplace trust and other measures of the quality of social capital in workplaces. For example, an increase of trust in management that is about one tenth of the scale has a value in terms of life satisfaction equivalent to an increase of more than 30% in monetary income. We find that these values differ significantly by gender and by union status. We consider the reasons for such large values, and explore their implications for employers, employees, and policy-makers.     

Income Expectations and Happiness: Evidence from British Panel Data

We analyze the impact of households’ subjective current and future financial measures on their well-being by using three waves of a longitudinal data set—Understanding Society -from the UK. We use a fixed-effects regression method to get rid of individual heterogeneity, and find that even after controlling for some demographic characteristics, including equivalent household income, subjective measures of current and future financial well-being are still significant correlates of life satisfaction in UK households. The same results hold for income satisfaction and mental health. Our main contribution however is showing that positive surprises in financial expectations decrease the subjective well-being of the household’s, and vice versa for negative surprises. This result shows that even though a household’s expectations of its future financial situation may not be accurate, any unexpected shock regarding household income could be significantly correlated with subjective well-being.     

Untangling the Relationship Between Income and Subjective Well-Being: The Role of Perceived Income Adequacy and Borrowing Constraints

This paper aims to untangle the relationship between income and subjective well-being. To accomplish this, we investigate how subjective well-being is affected by two financially-related determinants that have not been investigated before or scarcely so. Specifically, we research the impact on subjective well-being of how people are coping with their present income as well as of their borrowing constraints. The results indicate that both variables determine subjective well-being and that they mediate the effects of other variables, namely income, which is not directly related to well-being. Additionally, they signal that income matters to the extent to which it contributes to meeting the desired consumption needs and eases borrowing constraints. Such mediating effects thus contribute to explain how income affects subjective well-being. We also inspect differences in life satisfaction responsiveness to perceived income adequacy and borrowing constraints in certain groups of individuals, and find that the subjective well-being of individuals in a more fragile financial position is particularly responsive to the alleviation of borrowing constraints.     

The role of group identification in the well-being of Spaniards with gypsy ethnicity

ABSTRACT

Objective: To describe the role of sex, age, educational level and psychosocial group-identification factors in well-being and satisfaction with life. Method: 229 Spanish Gypsies completed a survey of demographic data, psychological well-being, life satisfaction, ethnic identity and the individual’s inclusion of self within the ingroup. Results: (a) only level of studies is related to satisfaction with life; (b) participants with higher scores in ethnic identity reported more well-being and more life satisfaction; and (c) assessment of ethnic belonging affects more areas of well-being than does perception of closeness to the ingroup. Conclusion: objective conditions of deprivation are not related to well-being as reported by the participants; it is important to study how Spanish Gypsies value and perceive their ethnicity in order to predict their well-being and satisfaction with life.     

Multidimensionality of Well-Being and Spillover Effects Across Life Domains: How Do Parenthood and Personality Affect Changes in Domain-Specific Satisfaction?

Whether having children improves our well-being is a long-standing topic of debate. Demographic and sociological research has investigated changes in individuals’ overall well-being and partnership satisfaction when they become parents. However, little is known about how becoming parent may produce vulnerability—observable as an enduring decrease in well-being—in life domains that are strongly interdependent with the family domain, such as work and leisure. Linking life-course and personality psychology perspectives, the authors examine the trajectories of subjective well-being—measured as satisfaction with life, work, and leisure—3 years before and 3 years after the transition to parenthood. The authors particularly focus on the moderating effects of gender and personality. Using data from the German Socio-Economic Panel (1984–2013) and multilevel growth curve modeling, the authors show strong gender-based vulnerability in how people react to parenthood. Although men display a nonlinear pathway of decreasing life satisfaction and a stable trajectory of job satisfaction, women experience more changes in their satisfaction with work and more dramatic decreases in leisure satisfaction. Contrary to most of our expectations, the moderating effects of personality were modest. Extraversion influenced the trajectories of work satisfaction, whereas neuroticism and conscientiousness affected the pathway of leisure satisfaction for women only. This article shows that the transition to parenthood influences well-being trajectories in specific domains, and this influence differs between women and men.     

Putting a Price Tag on Security: Subjective Well-Being and Willingness-to-Pay for Crime Reduction in Europe

Using information on life satisfaction and crime from the European Social Survey, we apply the life satisfaction approach (LSA) to determine the relationship between subjective well-being (SWB), income, victimization experience, fear of crime and various regional crime rates across European regions. We show that fear of crime and criminal victimization significantly reduce life satisfaction across Europe. Building upon these results, we quantify the monetary value of improvements in public safety and its valuation in terms of individual well-being. The loss in satisfaction for victimized individuals corresponds to 24,174€. Increasing an average individual’s perception within his neighborhood from unsafe to safe yields a benefit equivalent to 14,923€. Our results regarding crime and SWB in Europe largely resemble previous results for different countries and other criminal contexts, whereby using the LSA as a valuation method for public good provision yields similar results as stated preference methods and considerably higher estimates than revealed preference methods.     

Life Satisfaction Among Recent Immigrants in Canada: Comparisons to Source-Country and Host-Country Populations

Research examining how changes in life circumstances affect subjective well-being has been dominated by set-point theory. New evidence challenges the assumptions of this theory, indicating that major life events can result in lasting changes to individuals’ life satisfaction. This study examines whether changes in national-level conditions following migration affect the life satisfaction of immigrant groups from different source countries by comparing the average life satisfaction levels of immigrant groups to that of non-emigrants in their source countries. Life satisfaction differences between immigrant groups and the native-born population in Canada are also examined. Results show that migration to a country with improved national-level conditions increases immigrants’ life satisfaction. Most immigrant groups had higher life satisfaction than their source-country counterparts and life satisfaction scores were similar to those of the native-born population. These findings persist when the sample includes immigrants who have resided in Canada for up to 20 years.     

Genetic and Environmental Effects on Eudaimonic and Hedonic Well-Being: Evidence from a Post-Communist Culture

Prior behavioral genetic studies in positive psychology were entirely based on data from Western democracies, leaving the question open whether the magnitude of genetic effects on well-being indicators is similar in substantially different societal contexts. The aim of this study, therefore, was to investigate the structure of the genetic and environmental influences on happiness, life satisfaction, meaning in life, optimism, sense of coherence, and general well-being in a non-Western sample. Altogether, 100 monozygotic and 36 same-sex dizygotic twin pairs from Hungary (73 % female; M_age = 43 years, SD = 16 years) participated in the survey. Univariate classical twin modeling (ACE analysis) was performed using structural equation models. Heritability estimates of the positive psychological variables were largely variable, ranging from 0 % (happiness and meaning in life) to 67 % (life satisfaction). Also, estimates for the influence of common environment fell between 0 % (life satisfaction, sense of coherence, and well-being) and 60 % (meaning in life). Unshared environmental influences however, explained a moderate variance of all investigated variables (33–62 %). Most results were in line with previous findings from Western countries; however, some notable differences—e.g., lower hereditary influence for happiness or more robust role of shared environmental effects for optimism—were also established. These findings suggest that the communist and post-communist legacy did not produce drastic differences in the structure of heritability and environmental influences as compared to countries with longer traditions of democracy and economic prosperity.     

Big Five Personality Traits and Self-Esteem as Predictors of Life Satisfaction in Iranian Muslim University Students

This study presents the first examination of the relation between the Big Five personality traits, self-esteem, and life satisfaction in Iran, which is an understudied country in the well-being literature. Participants were 235 university students at the University of Tehran, all reporting their religious affiliation as Muslim. Findings revealed that the Big Five personality traits explained about 25% of the variance in life satisfaction scores. Among the Big Five traits, extraversion and neuroticism were found to be the strongest predictors of life satisfaction. In addition, it was found that self-esteem significantly predicted life satisfaction over and above the Big Five personality traits. Findings also showed that self-esteem completely mediated the influence of conscientiousness and agreeableness on life satisfaction, while the influence of extraversion and neuroticism on life satisfaction was partially mediated by self-esteem. Furthermore, findings revealed that female students scored significantly higher than male students on life satisfaction. Sex also could moderate the relation between conscientiousness and life satisfaction. This relation was found to be significantly stronger for female students. Implications of the results are discussed with reference to prior studies on the relation between personality traits and different aspects of well-being in Iran.     

Aspirations,Attainments, and Satisfaction: Life Cycle Differences Between American Women and Men

Aspirations, along with attainments, play an important role in shaping well-being. Early in adult life women are more likely than men to fulfill their material goods and family life aspirations; their satisfaction in these domains is correspondingly higher; and so too is their overall happiness. Material goods aspirations refer here to desires for a number of big-ticket consumer goods, such as a home, car, travel abroad and vacation home. In later life these gender differences turn around. Men come closer than women to fulfilling their material goods and family life aspirations, are more satisfied with their financial situation and family life, and are the happier of the two genders. An important factor underlying the turnaround in fulfillment of aspirations for material goods and family life is probably the shift over the course of the life cycle in the relative proportion of women and men in marital and non-marital unions.     

Subjective well-being and national satisfaction: findings from a worldwide survey

We examined the relationship between satisfaction with one's country (national satisfaction) and subjective well-being utilizing data from a representative worldwide poll. National satisfaction was a strong positive predictor of individual-level life satisfaction, and this relationship was moderated by household income, household conveniences, residential mobility, country gross domestic product per capita, and region (Western vs. non-Western country). When individuals are impoverished or more bound to their culture and surroundings, national satisfaction more strongly predicts life satisfaction. In contrast, reverse trends were found in analyses predicting life satisfaction from satisfaction in other domains (health, standard of living, and job). These patterns suggest that people are more likely to use proximate factors to judge life satisfaction where conditions are salutary, or individualism is salient, but are more likely to use perceived societal success to judge life satisfaction where life conditions are difficult, or collectivism predominates. Our findings invite new research directions and can inform quality-of-life therapies.     

Does Money Buy Immigrant Happiness?

The relationship between income and happiness for international immigrants has been relatively unexplored. A handful of cross-sectional studies has shown that income and happiness are positively correlated after migration, and that wealthier immigrants are more satisfied with their post-migration lives than are their less privileged peers. What is unclear is if the link between income and happiness remains positive as immigrants assimilate to life in a new country. This question is the focus of our study. Using longitudinal data from over 10,000 immigrants tracked up to 30 years in the German Socio-Economic Panel Survey, we set out to provide some insight into the long-term relationship between immigrants’ self-reported life satisfaction and the level of their income in its absolute form. Longitudinal analyses revealed that immigrants who experienced increases in income over time reported greater satisfaction with life and that the income-happiness link remained relatively stable over time. The effect of absolute income on immigrants’ happiness was, nevertheless, small. We also observed that country of origin played an important role in the post-migration association between income and happiness. Income was a stronger predictor of the life satisfaction of immigrants from poorer origins than it was for their wealthier counterparts.