Absolute Income,Relative Income,and Happiness

This paper uses data from the World Values Survey to investigate how an individual’s self-reported happiness is related to (i) the level of her income in absolute terms, and (ii) the level of her income relative to other people in her country. The main findings are that (i) both absolute and relative income are positively and significantly correlated with happiness, (ii) quantitatively, changes in relative income have much larger effects on happiness than do changes in absolute income, and (iii) the effects on happiness of both absolute and relative income are small when compared to the effects several non-pecuniary factors.

中国农村收入、收入差距和健康

本文利用2004年和2006年中国9个省份的家庭调查面板数据,研究收入、相对收入和农村居民健康之间的关系。发现健康状况随着个人收入的增加而改善,呈现出明显的非线性关系;收入差距对健康的滞后影响,呈现倒U型关系。此外,当基尼系数在0.387以下时,农村居民健康水平将会随着基尼系数的扩大而改善,当收入差距进一步扩大时,健康水平将受到损害。而数据显示68%的农村居民在倒U右侧,健康正受到扩大的收入差距侵蚀。     

Estimating Extended Income Equivalence Scales from Income Satisfaction and Time Use Data

Social Indicators Research - In this paper, I estimate extended income equivalence scales from income satisfaction and time-use data contained in the German Socio-Economic Panel. Designed to...     

Income and reproductive motivation

It is often assumed that family size and income would be positively related if unwanted births among the less advantaged were prevented. But this assumption rests on a prior expectation that family-size preferences bear a direct relation to income in modern societies. Data on such reproductive preferences in relation to economic status from 13 studies in the United States dating between 1936 and 1966 do not support the notion of a positive association between reproductive preferences and income. Only when Catholics are considered is there even a U-shaped relation between family-size desires and income. These results cast doubt on the notion that the economic theory of demand for consumer durables is relevant to reproductive motivation. Rather, the data lend credence to the idea that significant non-economic influences associated with prosperity depress family-size desires among the well-to-do. Only if these influences are specifically weakened by a counter-force (such as Catholicism) do wealthier people show a preference for somewhat larger families. In no case, however, are the Catholic/non-Catholic differences in reproductive preference large. Moreover, no economic group, even among non-Catholics, prefers very small families.     

Income and reproductive motivation

Abstract It is often assumed that family size and income would be positively related if unwanted births among the less advantaged were prevented. But this assumption rests on a prior expectation that family-size preferences bear a direct relation to income in modern societies. Data on such reproductive preferences in relation to economic status from 13 studies in the United States dating between 1936 and 1966 do not support the notion of a positive association between reproductive preferences and income. Only when Catholics are considered is there even a U-shaped relation between family-size desires and income. These results cast doubt on the notion that the economic theory of demand for consumer durables is relevant to reproductive motivation. Rather, the data lend credence to the idea that significant non-economic influences associated with prosperity depress family-size desires among the well-to-do. Only if these influences are specifically weakened by a counter-force (such as Catholicism) do wealthier people show a preference for somewhat larger families. In no case, however, are the Catholic/non-Catholic differences in reproductive preference large. Moreover, no economic group, even among non-Catholics, prefers very small families.     

Income prospects and age-at-marriage

This paper provides an empirical investigation of a theoretical model of the marriage market. In the model, women are valued more for their ability to bear children and men are valued more for their ability to make money. Men cannot reveal their labor market ability to potential spouses until they enter the labor force. At the same time, the relevant information for evaluating females as spouses is revealed at a younger age. The model predicts that the income of males will be positively associated with age-at-first-marriage. We find empirical support for the model. However, we also find the association between male earnings and age-at-first-marriage becomes negative for those who married after age 30, which was not predicted by the model. Consistent with the model, we do not find a strong relationship between earnings and age-at-first-marriage among females. JEL classification: J1, J12 Received August 11, 1994 / Accepted August 10, 1995     

Income Affluence in Poland

This paper examines the evolution of income affluence (richness) in Poland during 1998–2007. Using household survey data, the paper estimates several statistical indices of income affluence including income share of the top percentiles, population share of individuals receiving incomes higher than the richness line, and measures that take into account both the extent and the intensity of affluence. Results show that over the period under study there was a statistically significant and socio-economically sizable rise in income affluence by between 9 and 50%, depending on the index used. The overall income distribution in the period has shifted in favour of the rich as relative poverty and relative size and income share of the middle class have declined.     

Income Distribution and Social Tolerance

Social tolerance, i.e. the tolerance for the intrinsic diversity of large social groups, can be viewed as a synergic effect of the features of both individuals and socio-economic environment. This paper proposes a twofold contribution to the literature. First, it advances a conceptual framework in which tolerance at individual levels is explained by social polarization—in the form of income distribution—and the perceived quality of the social relationships and structures. Second, the regression analysis—involving micro-data from World Values Survey covering a time span between 2010 and 2014, for 48 countries—provides robust evidences for a non-linear impact of income distribution on social tolerance. This impact appears to be U-shaped and displays a pronounced degree of asymmetry. Also, labour market position, education, class self-identification, gender, age, marital status, levels of individuals’ personal security and sharing of post-materialist values matter in explaining social tolerance. The same main determinants contribute to the formation of both social tolerance and social capital. The differences are related to the amplitude as well as to the degree of symmetry for the corresponding non-linear transmission channels.     

Income transfers and income inequality

This paper examines two hypotheses dealing with the level of income inequality in the United States: the inequality stability and inequality reduction arguments. It shows that when data on the impact of income transfers to the nonpoor population are taken into account, the inequality stability hypothesis appears to be the most accurate.     

Income inequality and solidarity in Europe

This paper studies the relationship between income inequality, a macro-level characteristic, and solidarity of Europeans. To this aim, solidarity is defined as the ‘willingness to contribute to the welfare of other people’. We rely on a theoretical idea according to which feelings of solidarity are derived from both affective and calculating considerations – we derive competing hypotheses relating the extent of income inequality to these ‘underlying’ motivations for solidarity. Using data from the 1999 European Values Study (EVS), we apply multilevel analysis for 26 European countries. Controlling for household income and a range of macro-level characteristics, we find evidence that in more unequal countries people are less willing to take action to improve the living conditions of their fellow-countrymen. This is true for respondents living in both low- and high-income households. According to our theoretical framework, this finding suggests that, at least when measured in terms of ‘willingness to contribute to the welfare of other people’, feelings of solidarity seem to be influenced more strongly by affective, rather than by calculating considerations.     

Income and Material Living Standards

Social Indicators Research -     

Income Inequality and Persistence Changes

Social Indicators Research - This paper carries out a time series analysis of the Gini coefficient for disposable income in a sample that includes both advanced and emerging economies. Our results...     

Income Gap Widens in Beijing

The income gap between the highest- and lowest-income groups in Beijing, China’s capital city, grew to 4:1 in 2004, up from 3:1 in 2003, according to a sampling survey of 2,000 urban households conducted by the Beijing Municipal Statistics Bureau. Among the most important factors affecting income levels were education and profession, the survey indicated. The survey suggested that in 2004, the per capita disposable income of Beijing residents was RMB15,638, up 12.6% from 2003. Low-income…     

Temporary Employment Contracts and Household Income

Social Indicators Research - It is widely accepted that temporary jobs tend to be associated with low pay which, in turn, will have negative consequences for household income. Evidence in support...     

Income and Well-being Across European Provinces

The majority of studies investigate the effect of income on life satisfaction at either individual or country level. This study contributes with analysis at the (sub-national) province level across West European countries. I use a unique dataset Eurobarometer 44.2 Bis that is representative of province populations in a multilevel model. Provinces are defined according to The Nomenclature of Territorial Units for Statistics at second level (NUTS II). Living conditions measured by regional income increase life satisfaction beyond personal income and national income. There is larger life satisfaction inequality between the rich and the poor in poor provinces than in rich provinces. Personal income matters more for life satisfaction in poor provinces than in rich provinces.     

Income and fertility: The elusive relationship

This paper uses longitudinal data for 1962–1977 to examine the relationship of husband’s income to 1962 expected fertility, to final parity, and to the discrepancy between initial expectations and final parity, separately for four groups of women who in 1962 either had just given birth to a first, second, or fourth child or had just been married. Although economic reasons frequently were cited in 1977 for downward revisions in family size goals, husband’s income was not positively related to fertility in three of the four parity groups. For the merged sample, excluding women with unwanted births, husband’s income showed a small positive relationship to completed fertility.     

The Compensating Income Variation of Social Capital

There is a small but growing literature on the determinants of social capital. Most of these studies use a measure of trust to define social capital empirically. In this paper we use three different measures of social capital: the size of the individual’s social network, the extent of their social safety net and membership of unions or associations. A second contribution to the literature is that we analyze what social capital contributes to our well-being. Based on this, we calculate the compensating income variation of social capital. We find differences in social capital when we differentiate according to individual characteristics such as education, age, place of residence, household composition and health. Household income generally has a statistically significant effect. We find a significant effect of social capital on␣life␣satisfaction. Consequently, the compensating income variation of social capital is substantial. Thanks to Tijl Woortman for his research assistance.     

Income,Consumption, and Poverty

Social Indicators Research - This article examines changes in economic welfare within Korea in terms of income, consumption, and poverty. Analyses of government statistics reveal that it has been...     

计划生育与城乡收入差距

本文讨论了计划生育对城乡收入差距的影响,发现与标准理论模型不同,中国的计划生育政策扩大而不是缩小了城乡收入差距,其中的原因主要是计划生育政策实施过程中所采取的超生罚款制度,因为这种制度既损害着农村物力资本的积累,也损害着农村人力资本的积累.