Democracy,Participation, and Life Satisfaction*

Objectives. We examine whether democracy, political participation, and differing systems of democracy influence individual levels of subjective well‐being. Methods. We use individual data on life satisfaction and characteristics related to satisfaction for approximately 46 countries. We estimate ordered probit models with country and time dummy variables and cluster‐adjusted robust standard errors. Results. Democracy is positively correlated with individual levels of well‐being. The opportunity to participate in the political process and whether the democracy is parliamentary or presidential are related to individual well‐being. Conclusions. Democratic institutions influence subjective well‐being. The well‐being of individuals with minority political views decreases in parliamentary systems.