Economic Theory and Subjective Well-being: Mexico

Several studies have been conducted on the topic of well-being. Most of them, however, have been done in industrialized countries where income is distributed relatively more equitatively and the population tends to be more homogeneous. This paper studies the relationship between subjective and economic well-being in Mexico, a country where the economic differences among the population are more clearly marked.

According to the economic definition of well-being, higher levels of income are associated with higher levels of well-being through greater levels of material consumption. Taking into consideration this definition, it is worth asking just how important income is for an individual's happiness?Existing studies in psychology have found a positive correlation between economic well-being (socioeconomic status) and subjective well-being (happiness). However, this positive relationship is weak and a large percentage of human happiness remains unexplained.

Although the mentioned studies make a good approximation of the existing relationship between income and happiness, the characteristics or specification of the function that generates the relationship between these two variables is often assumed to be linear and positive. The main objective of this paper is to investigate further the relationship between subjective and economic well-being. In this study different specifications and approaches are used to approximate the relationship between these variables.

An empirical analysis is made from the results of a survey conducted in two Mexican cities. The investigation studies the impact of demographic, social, and economic variables on subjective well-being in Mexico. Several hypotheses are tested to identify the relationship between household income and individual well-being. It is found that income does not have a strong influence on neither well-being nor on the probability of happiness. However, people tend to overstress the impact that additional income would have on their subjective well-being. This fact could explain the importance that people place on increasing their income level, and it could possibly explain the relative sense of dissatisfaction once a higher income level is achieved.

The relationship between income and the sense of basic need satisfaction is also explored. A main assumption in economic theory suggests the existence of a direct relationship between these variables; however, empirical results show this relationship to be extremely weak. Results indicate that subjective well-being is positively related to the sense of basic need satisfaction but not to income.

     

Climbing up the Social Ladders: Identity, Relative Income, and Subjective Well-being

This study incorporates the concept of identity to explain the relationship between relative income and subjective well-being. Based upon the theoretical framework of an identity model developed by Akerlof and Kranton Q J Econ 115:715–753, (2000), the empirical findings of this study suggest that an increase in relative income leads to a gain in positional identity and therefore raises the level of subjective well-being. This approach extends our understanding about the connection between positional concern and subjective well-being and explains the importance of social comparison in shaping individuals’ preferences and tastes. People are concerned about their relative income as it represents a positional identity of social status, dependent upon ideals and norms derived from the interactions between an individual and others within a society.     

The Association Between Perceived Income Inequality and Subjective Well-being: Evidence from a Social Survey in Japan

Previous studies have shown that income inequality in society is negatively associated with individuals subjective well-being (SWB), such as their perceived happiness and self-rated health (SRH). However, it is not realistic to assume that individuals have precise information about actual income distribution measured by the Gini coefficient or other statistical measures. In the current study, we examined how perceived income inequality, rather than actual inequality, was associated with SWB, using cross-sectional data collected from a nationwide, Internet survey conducted in Japan (N = 10,432). We also examined how this association was confounded by individuals’ objective and subjective income status, considering the possibility that individuals with lower income status are more inclined to both perceive income inequality and feel unhappy/unhealthy. In our analysis, we focused on the perception of widening income inequality (as perceived income inequality), perceived happiness and SRH (as SWB), and household income and living standards compared with 1 year ago and compared with others (as income status). We also controlled for personality traits. We obtained three key findings: (1) perceived income inequality was negatively associated with SWB; (2) both perceived income inequality and SWB were associated with income status; and (3) the association between perceived income inequality and SWB was attenuated after controlling for income status, but not fully for perceived happiness. These findings suggest that perceived income inequality, which links actual income inequality to SWB, should be further studied.     

An Index of Child Well-being in the European Union

While the living conditions of children and young people in the European Union have gained increasing recognition across the EU, the well-being of children is not monitored on the European level. Based on a rights-based, multi-dimensional understanding of child well-being we analyse data already available for the EU 25, using series data as well as comparative surveys of children and young people. We compare the performance of EU Member States on eight clusters with 23 domains and 51 indicators and give a picture of children’s overall well-being in the European Union. The clusters are children’s material situation, housing, health, subjective well-being, education, children’s relationships, civic participation and risk and safety.     

Women’s Well-Being in Iran: Territorial Analysis Using a Multidimensional Approach

This paper employs a multidimensional index for assessing women’s well-being in Iranian provinces using demographic and health survey macro data. Besides economic status as a traditional dimension for objective well-being, other factors such as health, education, risk, and technology as well as self-reported life satisfaction and happiness (psychological well-being) have been included as non-material well-being dimensions. We found that the values of women’s well-being are distributed unequally across the provinces. Southern provinces demonstrate the worst performances and central provinces have the best. Generally, Iranian women are in poor condition in terms of economic variables (e.g. income and participation in the job market), psychological well-being (life satisfaction), HIV literacy, use of the internet, and access to mass media. On the other hand, in recent years, they have made significant progress in education (such as the rate of literacy, high school degree), and health (safe pregnancy care and nutritional supplements).     

Subjective Well-being in Rural India: The Curse of Conspicuous Consumption

Using data on 697 individuals from 375 rural low income households in India, we test expectations on the effects of relative income and conspicuous consumption on subjective well-being. The results of the multi-level regression analyses show that individuals who spent more on conspicuous consumption report lower levels of subjective well-being. Surprisingly an individual’s relative income position does not affect feelings of well-being. Motivated by positional concerns, people do not passively accept their relative rank but instead consume conspicuous goods to keep up with the Joneses. Conspicuous consumption always comes at the account of the consumption of basic needs. Our analyses point at a positional treadmill effect of the consumption of status goods.     

Individual- and Neighbourhood-Level Indicators of Subjective Well-Being in a Small and Poor Eastern Cape Township: The Effect of Health,Social Capital,Marital Status,and Income

Our study used multilevel regression analysis to identify individual- and neighbourhood-level factors that determine individual-level subjective well-being in Rhini, a deprived suburb of Grahamstown in the Eastern Cape province of South Africa. The Townsend index and Gini coefficient were used to investigate whether contextual neighbourhood-level differences in socioeconomic status determined individual-level subjective well-being. Crime experience, health status, social capital, and demographic variables were assessed at the individual level. The indicators of subjective well-being were estimated with a two-level random-intercepts and fixed slopes model. Social capital, health and marital status (all p < .001), followed by income level (p < .01) and the Townsend score (p < .05) were significantly related to individual-level subjective well-being outcomes. Our findings showed that individual-level subjective well-being is influenced by neighbourhood-level socioeconomic status as measured by the Townsend deprivation score. Individuals reported higher levels of subjective well-being in less deprived neighbourhoods. Here we wish to highlight the role of context for subjective well-being, and to suggest that subjective well-being outcomes may also be defined in ecological terms. We hope the findings are useful for implementing programs and interventions designed to achieve greater subjective well-being for people living in deprived areas.     

Poverty and Subjective Well-being in Mexico

There are two tendencies in the literatureregarding the relationship between income andsubjective well-being. The first tendencymaintains that there is a strong relationshipbetween these two variables, and that thepoorer the population, the more pronounced thisrelationship. The second tendency downplaysthis relationship, arguing that a largepercentage of happiness cannot be explained byeconomic variables. The objective of this studywas to compare the subjective well-being ofthree socioeconomic groups – extremely poor,moderately poor and not poor – and to discoverthe combination of subjective well-beingfactors that makes it possible to predict thesocioeconomic group to which subjects belong.Subjective well-being was measured by using aninstrument developed by Palomar Lever (2000) andconsisting of eleven related factors thatinquire into the subjects' satisfaction ineleven areas of life. The results indicatestatistically significant differences in nearlyall the subjective well-being factors inrelation to the socioeconomic group to whichsubjects belong, with the poorest subjectsreporting the least satisfaction. In additionsome differences were found in relation to sexand age. Also, low correlations were observedbetween income and subjective well-being in theextremely poor and moderately poor groups, withmore of these correlations in the first group,followed by the last. Finally, it was foundthat membership in the socioeconomic groups canbe predicted by a combination of subjectivewell-being factors such as satisfaction withone's recreational activities, socialsurroundings, personal development and couplerelationship.     

The Impact of Democracy on Well-being

Can governance impact directly on well-being? In this paper we examine subjective well-being using data for a cross section of countries from the World Values data set. We find that regional democratic satisfaction impacts on both individual happiness and life satisfaction. However, the impact is less evident for women, rich people and for those in rich countries. The fact that the governance variable analysis is based on regional differences in democratic satisfaction reminds us that governance and indeed happiness often differs within countries as well as between them. The use of regional satisfaction in this manner helps overcome endogeneity problems which would be present if we were to use individual democratic satisfaction. Other significant determinants of happiness include settlement size, marital status, income, unemployment and being part of a linguistic minority/majority grouping.     

Socio-demographic Correlates of Subjective Well-being in Urban India

This study aimed to explore subjective well-being (SWB) in an urban Indian sample. Adults (n = 1099) belonging to two wards in the city of Bangalore in South India, responded to a study-specific questionnaire. This paper is based on data generated as part of an ongoing larger study looking at correlates of SWB. Almost equal number of men and women responded to the study and their age ranged from 20 to 81 years (mean age 37 years). Majority of them were married, Hindus, from middle socio-economic status, had studied above pre-university level and more than half were earning. The mean scores on positive affect (40.9), negative affect (27.6) and life satisfaction (24) suggested above average levels of SWB. Higher age, being married, having higher education, higher income and working in a full time job seemed to improve life satisfaction and decrease negative affect. Religion was also significantly associated with negative affect. Step-wise regression analysis suggested that only education and income were important predictors of positive affect, while negative affect was better predicted by age, income, work status and religion. Life satisfaction was predicted by income, age and education. The important correlates of SWB for men and women were somewhat different. Overall, sociodemographic variables have minimal effect on SWB in urban India and research needs to explore other predictors of SWB.     

Social Correlates of Psychological Well-Being Among Undergraduate Students in Mysore City

This study explores the impacts of social factors on psychological well-being mainly, gender, educational levels of parents, family income, occupation of parents, and family relationships. The research methodology I employed was guided by random sampling techniques; I selected two hundred eighty students, between the ages of, 19 and 22, from both genders, and different socioeconomic and religious backgrounds. These students were selected from a total of 8 governmental and private colleges in Mysore. I prepared a structured questionnaire for gathering the demographic information and assessing relevant social factors. To measure psychological well-being, I administered Ryff’s psychological well-being scales (Ryff in J Pers Soc Psychol 57(6):1069–1081, 1989). I used frequencies, distribution, and contingency coefficient to describe the variables such as, age, gender, education, religion, income, occupation and their association with type of colleges The data were statistically tested through a one way analysis of variance (ANOVA), Post Hoc Test (Duncan’s Multiple Range Test) and a t test using (SPSS, version 16). The findings of this quantitative study reveal that there were no gender differences in relation to psychological well-being of students. Educational levels of parents, occupation, income, and family relationships impact students’ psychological well-being. This study contributes to the literature in two ways. First, my work explores multiple social factors in tandem, instead of focusing on one social factor. Second, the current study probes into better understanding of the sociological issues that are related to characteristics of psychological well-being, particularly that of young college -age women and men. This research is supported by previous studies related to the psychological well-being.     

Determinants of Subjective Well-Being and Poverty in Rural Pakistan: A Micro-Level Study

Drawing on unique survey data for rural Pakistan, we investigate the impact of socio-demographic factors on happiness index with particular emphasis on subjective well-being measurement to evaluate poverty and its different components. The data elicits information on overall well-being in terms of household’s happiness with the current socio-economic status. We estimate a happiness model to explore to what extent a well-being perspective adds to our understanding of poverty. We find that the well-being approach closely depicts the idea of well-being poverty in terms of the level education, health and income which matter significantly. Moreover unlike developed nations where children have a negative impact on overall well-being, this study suggests a positive impact on well-being and poverty. As studies employing good data from developing countries are rare, this paper can potentially make a good contribution to the existing happiness literature, with special reference to Pakistan.     

Measuring Well-being Across Europe: Description of the ESS Well-being Module and Preliminary Findings

It has become customary to judge the success of a society through the use of objective indicators, predominantly economic and social ones. Yet in most developed nations, increases in income, education and health have arguably not produced comparable increases in happiness or life satisfaction. While much has been learned from the introduction of subjective measures of global happiness or life satisfaction into surveys, significant recent progress in the development of high-quality subjective measures of personal and social well-being has not been fully exploited. This article describes the development of a set of well-being indicators which were included in Round 3 of the European Social Survey. This Well-being Module seeks to evaluate the success of European countries in promoting the personal and social well-being of their citizens. In addition to providing a better understanding of domain-specific measures, such as those relating to family, work and income, the design of the Well-being Module recognises that advancement in the field requires us to look beyond measures which focus on how people feel (happiness, pleasure, satisfaction) to measures which are more concerned with how well they function. This also shifts the emphasis from relatively transient states of well-being to measures of more sustainable well-being. The ESS Well-being Module represents one of the first systematic attempts to create a set of policy-relevant national well-being accounts.

Work Matters: Work Personal Projects and the Idiosyncratic Linkages Between Traits,Eudaimonic and Hedonic Well-being

A holistic understanding of relationships between personality and well-being requires knowing the linkages between several levels of personality analysis and different wellbeing varieties, namely hedonic and eudaimonic measures. We explore the moderator effect of work personal projects, a personality variable linked to personal action, on the relations between proactive conscientiousness facets, personality traits, and subjective and psychological well-being. In two cross-sectional studies, a battery of self-report questionnaires was used to assess personality traits, personal projects, subjective and psychological well-being in 398 teachers of primary and high schools. Findings show that work personal projects moderate the relations between competence and deliberation, but not achievement striving, and the three psychological well-being dimensions. However, work personal projects do not have a moderator influence on the relationship between these traits and subjective well-being components. Therefore, work personal projects seem to provide specific and distinct linkages on the relationships between personality trait and these two kinds of well-being. Additionally, findings support the importance of work in adult lives, considered by diverse authors.     

Panel Conditioning and Subjective Well-being

The importance of panel, or longitudinal, survey data for analyzing subjective wellbeing, and especially its dynamics, is increasingly recognized. Analyses of such data, however, have to deal with two potential problems: (1) non-random attrition; and (2) panel conditioning. The former is a much researched topic. In contrast, panel conditioning has received much less attention from the research community. In this analysis, longitudinal survey data collected from members of a large national probability sample of households are used to examine whether self-reported measures of psychological well-being exhibit any tendency to change over time in a way that might reflect panel conditioning. Regression models are estimated that control for all time invariant influences as well as a set of time-varying influences. We find very little evidence that mean life satisfaction scores vary with length of time in the panel, especially once non-random attrition is controlled for. In contrast, scores on a measure of mental health do vary with time, and surprisingly men and women exhibit opposing patterns. For men, scores decline over time (though the estimates are not statistically robust), whereas for women the effects are both large and rise with time. Further, for both outcome measures there is a clear narrowing in the dispersion of reported scores over the first few waves of participation. The findings have implications for empirical research employing longitudinal data.     

婚姻与心理福利的性别差异性分析

文章利用中国综合社会调查(2006)数据,比较了不同婚姻状况、婚姻质量的群体心理福利的差异,并分析了婚姻状况、婚姻质量对心理福利的影响机制及其性别差异,探讨了家庭代际支持、个体社会经济地位对婚姻的调节作用。研究发现,单身群体的心理福利比婚居群体差,心理福利也因婚姻质量而差异显著,但单身女性的心理福利好于婚姻质量差的女性,婚姻质量差的男性心理福利好于单身男性。回归分析结果也证实婚姻特别是高质量的婚姻对心理福利存在保护功能。婚姻状况对男性的影响较大,婚姻质量对女性的影响较大。另外,代际支持和个体地位也是影响心理福利的重要因素,对婚姻特别是婚姻质量具有替代或强化作用。     

Subjective Well-Being in China: Associations with Absolute,Relative, and Perceived Economic Circumstances

Numerous studies examining the impact of income on subjective well-being (SWB) have found significant positive relationships exhibiting decreasing marginal returns. However, the impact of economic circumstances on SWB is better captured through a combination of income, wealth (per capita net worth), and perceived and relative economic conditions. Using data from the Chinese Household Income Project, I find that within rural and urban China, wealth significantly predicts SWB, exhibiting decreasing marginal returns independent of more common measures of economic circumstances such as income and occupational status. Within urban China, these associations decrease in magnitude and significance with the addition of objective relative measures of wealth and income. Finally, I find that subjective perceptions of relative standard of living are strongly associated with SWB independent of other measures. These results highlight the importance of using multiple objective and subjective measures of economic circumstances, demonstrating potential limitations of studies that have focused exclusively on income as a predictor of well-being. Results are interpreted within the context of China’s changing social and economic structure.     

Affluence,Feelings of Stress,and Well-being

Data from the Gallup World Poll highlighted the differential relations between perceived stress, well-being, and wealth at the individual- versus nation-level. At the nation level, stress was a distinct concept from negative affect (NA). It correlated positively with well-being (positive affect, life satisfaction, and domain satisfaction) and wealth (as measured by income, gross domestic product, and modern conveniences). In contrast, NA correlated inversely with well-being and income. Although similar to NA at the individual level, stress showed weaker negative relations with well-being than NA did. In sum, nation-level stress and NA were related in the opposite direction to wealth (and poverty), well-being, and life expectancy. Furthermore, the concept of stress differed at the individual and nation levels. For the former, stress appeared to be purely a negative marker of affective well-being (albeit weaker than other discrete negative emotions); for the latter, it appeared to reflect lifestyle differences that were strongly associated with wealth, and with affective and cognitive well-being to a smaller degree.     

Correlates of subjective well-being in Northern Wisconsin

This paper presents the results of an attempt to relate socioeconomic status, family status, social participation and personal disruptions of statuses and roles to an index of life satisfaction in rural sectors of Northern Wisconsin. While income, education and occupational status and level of living explain very little of life satisfaction, social participation variables explain somewhat more and disruptions of marital ties, job, physical well-being and residence explain most. Analyses by age and sex show that contacts with friends, relatives and church attendance are more important for the young, employment for the middle-aged and village residence more important for the older persons. The analysis supports the notion that life satisfaction results from the discrepancy between the aspirations and expectations of the individual and his ability to satisfy them within his environment. Education is negatively associated with subjective well-being when other variables are controlled. The influence of social involvement upon life satisfaction suggests the need for a modification of the aspiration-attainment model to include the integrative-expressive as well as the adaptive-instrumental processes of the individual.