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The Relationship between Happiness, Health and Socio-economic Factors: Results Based on Swedish Micro Data

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Author Info
Gerdtham, Ulf-G () (Dept. of Economics, Stockholm School of Economics)
Johannesson, Magnus () (Dept. of Economics, Stockholm School of Economics)

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Abstract

This paper investigates the relationship between happiness (utility) and a host of socio-economic variables. The data set consists of a random sample of over 5,000 individuals from the Swedish adult population. Happiness is measured by a three-point categorical measure of overall happiness (not happy, happy sometimes, happy most of the time), and an ordered probit model is used to econometrically estimate the happiness equation. The results are consistent with the theoretical predictions and show that happiness increases with income and education and decreases with unemployment, urbanisation, being single, and male gender. The relationship between age and happiness is U-shaped, with happiness being lowest in the age-group 45-64.

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Publisher Info
Paper provided by Stockholm School of Economics in its series Working Paper Series in Economics and Finance with number 207.

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Length: 29 pages
Date of creation: 21 Nov 1997
Date of revision:
Handle: RePEc:hhs:hastef:0207

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Postal: The Economic Research Institute, Stockholm School of Economics, P.O. Box 6501, 113 83 Stockholm, Sweden
Phone: +46-(0)8-736 90 00
Fax: +46-(0)8-31 01 57
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Web page: http://www.hhs.se/
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Related research
Keywords: Happiness; utility; health; socioeconomic factors;

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Find related papers by JEL classification:
D60 - Microeconomics - - Welfare Economics - - - General
I12 - Health, Education, and Welfare - - Health - - - Health Production
I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare

References listed on IDEAS
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  3. Van Praag, Bernard, 1971. "The welfare function of income in Belgium: An empirical investigation," European Economic Review, Elsevier, vol. 2(3), pages 337-369. [Downloadable!] (restricted)
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  4. Christian Dustmann, 1996. "The social assimilation of immigrants," Journal of Population Economics, Springer, vol. 9(1), pages 37-54.
  5. Kahneman, Daniel & Wakker, Peter P & Sarin, Rakesh, 1997. "Back to Bentham? Explorations of Experienced Utility," The Quarterly Journal of Economics, MIT Press, vol. 112(2), pages 375-405, May.
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  7. Christensen, Laurits R & Jorgenson, Dale W & Lau, Lawrence J, 1975. "Transcendental Logarithmic Utility Functions," American Economic Review, American Economic Association, vol. 65(3), pages 367-83, June. [Downloadable!] (restricted)
  8. Wagstaff, Adam, 1986. "The demand for health : Some new empirical evidence," Journal of Health Economics, Elsevier, vol. 5(3), pages 195-233, September. [Downloadable!] (restricted)
  9. Cameron, A Colin & Trivedi, Pravin K, 1986. "Econometric Models Based on Count Data: Comparisons and Applications of Some Estimators and Tests," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 1(1), pages 29-53, January. [Downloadable!] (restricted)
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  11. Clark, Andrew E & Oswald, Andrew J, 1994. "Unhappiness and Unemployment," Economic Journal, Royal Economic Society, vol. 104(424), pages 648-59, May. [Downloadable!] (restricted)
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  1. repec:ese:iserwp: is not listed on IDEAS
  2. Mariana Gerstenbluth & Máximo Rossi & Patricia Trinunfo, 2008. "Felicidad y Salud una aproximación al bienestar en el Río de la Plata," Estudios de Economia, University of Chile, Department of Economics, vol. 35(1 Year 20), pages 65-78, June. [Downloadable!]
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  3. Masoud Moghaddam, 2008. "Happiness, Faith, Friends, and Fortune—Empirical Evidence from the 1998 US Survey Data," Journal of Happiness Studies, Springer, vol. 9(4), pages 577-587, December. [Downloadable!] (restricted)
  4. David G. Blanchflower, 2008. "International evidence on well-being," NBER Working Papers 14318, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  5. Keith A. Bender & Steffen Habermalz, 2005. "Are There Differences in the Health-Socioeconomic Status Relationship over the Life Cycle? Evidence from Germany," IZA Discussion Papers 1560, Institute for the Study of Labor (IZA). [Downloadable!]
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  6. Nattavudh Powdthavee, 2003. "Are there Regional Variations in the Psychological Cost of Unemployment in South Africa?," Labor and Demography 0310006, EconWPA, revised 28 Oct 2003. [Downloadable!]
  7. Jon Gjerde & Sverre Grepperud & Snorre Kverndokk, 2005. "On adaptation and the demand for health," Applied Economics, Taylor and Francis Journals, vol. 37(11), pages 1283-1301, June. [Downloadable!] (restricted)
  8. Boes, Stefan & Winkelmann, Rainer, 2004. "Income and Happiness: New Results from Generalized Threshold and Sequential Models," IZA Discussion Papers 1175, Institute for the Study of Labor (IZA). [Downloadable!]
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  9. Paul Frijters & Tony Beatton, 2008. "The mystery of the U-shaped relationship between happiness and age," NCER Working Paper Series 26, National Centre for Econometric Research. [Downloadable!]
  10. Frijters, Paul & Haisken-DeNew, John P. & Shields, Michael A., 2002. "The Value of Reunification in Germany: An Analysis of Changes in Life Satisfaction," IZA Discussion Papers 419, Institute for the Study of Labor (IZA). [Downloadable!]
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  11. Nattavudh Powdthavee, 2004. "Testing for Utility Interdependence in Marriage: Evidence from Panel Data," Labor and Demography 0403037, EconWPA, revised 01 Apr 2004. [Downloadable!]
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  12. Bukenya, James O. & Gebremedhin, Tesfa G. & Schaeffer, Peter V., 2002. "Analysis Of Rural Quality Of Life And Health: A Spatial Approach," 2002 Annual meeting, July 28-31, Long Beach, CA 19878, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  13. Andrén, Daniela & Martinsson, Peter, 2003. "What contributes to life satisfaction in transitional Romania?," Working Papers in Economics 111, Göteborg University, Department of Economics. [Downloadable!]
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  14. Nattavudh Powdthavee, 2003. "Is the Structure of Happiness Equations the Same in Poor and Rich Countries? The Case of South Africa," Development and Comp Systems 0309003, EconWPA, revised 06 Nov 2003. [Downloadable!]
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  15. Shields, Michael A. & Wheatley Price, Stephen, 2001. "Exploring the Economic and Social Determinants of Psychological and Psychosocial Health," IZA Discussion Papers 396, Institute for the Study of Labor (IZA). [Downloadable!]
  16. Migheli, Matteo, 2009. "Religiosity and happiness: an ever-winning couple? An answer from India," P.O.L.I.S. department's Working Papers 126, Department of Public Policy and Public Choice - POLIS. [Downloadable!]
  17. N Powdthavee, 2008. "Ill-Health as a Household Norm: Evidence from Other People's Health Problems," Discussion Papers 08/21, Department of Economics, University of York. [Downloadable!]
  18. R Todd Jewell & Maximo Rossi & Patricia Triunfo, 2006. "El Estado de Salud de los Jóvenes Uruguayos," Cuadernos de Economía (Latin American Journal of Economics), Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 43(128), pages 235-250. [Downloadable!]
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  19. Rosa Duarte & José-Julián Escario & José-Alberto Molina, 2007. "Supporting the Endogenous Relationship Between Well-Being and Employment for US Individuals," Atlantic Economic Journal, International Atlantic Economic Society, vol. 35(3), pages 279-288, September. [Downloadable!] (restricted)
  20. Alejandro Cid & Daniel Ferrés & Máximo Rossi, 2007. "Testing Happiness Hypothesis among the Elderly," Documentos de Trabajo (working papers) 1207, Department of Economics - dECON. [Downloadable!]
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