Advanced Search
MyIDEAS: Login to save this paper or follow this series

Trading Up the Happiness Ladder

Contents:

Author Info

  • Dluhosch, Barbara

    ()
    (Helmut Schmidt University, Hamburg)

  • Horgos, Daniel

    ()
    (Helmut Schmidt University, Hamburg)

Abstract

How globalization affects happiness is highly disputed. Several studies use an index that amalgamates globalization’s different dimensions into a single variable. Unlike previous studies and in order to better illuminate its facets, we adopt a disaggregated perspective on trade (policy) data. Distinguishing actual trade flows and the option value of trade, we find the former to slightly depress happiness, the latter to significantly promote happiness. Segmentation of WVS-data shows that the positive connotation is concentrated in low-income countries still in the process of climbing the income ladder, thus backing the notion of a shift in values.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.hsu-hh.de/fgvwl/index_UziyqS6ftLGKOTHP.html
File Function: Full text
Download Restriction: no

Bibliographic Info

Paper provided by Helmut Schmidt University, Hamburg in its series Working Paper with number 115/2012.

as in new window
Length: 20 pages
Date of creation: 01 Mar 2012
Date of revision:
Handle: RePEc:ris:vhsuwp:2012_115

Contact details of provider:
Postal: Holstenhofweg 85, D-22043 Hamburg
Phone: +49 (0)40 6541 2590
Fax: +49 (0)40 6541 2780
Web page: http://www.hsu-hh.de/fgvwl/
More information through EDIRC

Related research

Keywords: Happiness; Well-Being; International Trade;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Becchetti, Leonardo & Castriota, Stefano & Corrado, Luisa & Ricca, Elena Giachin, 2013. "Beyond the Joneses: Inter-country income comparisons and happiness," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 45(C), pages 187-195.
  2. Bryan Caplan, 2002. "Systematically Biased Beliefs About Economics: Robust Evidence of Judgemental Anomalies from the Survey of Americans and Economists on the Economy," Economic Journal, Royal Economic Society, vol. 112(479), pages 433-458, April.
  3. M. Sirgy & Dong-Jin Lee & Chad Miller & James Littlefield & Eda Atay, 2007. "The Impact of Imports and Exports on a Country’s Quality of Life," Social Indicators Research, Springer, vol. 83(2), pages 245-281, September.
  4. Winkelmann, Rainer, 2006. "Unemployment, Social Capital, and Subjective Well-Being," IZA Discussion Papers 2346, Institute for the Study of Labor (IZA).
  5. Sacks, Daniel W. & Stevenson, Betsey & Wolfers, Justin, 2010. "Subjective Well-Being, Income, Economic Development and Growth," IZA Discussion Papers 5230, Institute for the Study of Labor (IZA).
  6. Easterlin, Richard A., 1995. "Will raising the incomes of all increase the happiness of all?," Journal of Economic Behavior & Organization, Elsevier, vol. 27(1), pages 35-47, June.
  7. David E. Weinstein & Christian Broda, 2004. "Globalization And The Gains From Variety," Econometric Society 2004 Latin American Meetings 327, Econometric Society.
  8. Di Tella, Rafael & MacCulloch, Robert, 2008. "Gross national happiness as an answer to the Easterlin Paradox?," Journal of Development Economics, Elsevier, vol. 86(1), pages 22-42, April.
  9. Daniel M. Gropper, Robert A. Lawson, and Jere T. Thorne Jr., 2011. "Economic Freedom and Happiness," Cato Journal, Cato Journal, Cato Institute, vol. 31(2), pages 237-255, Spring/Su.
  10. Christian Bjørnskov & Axel Dreher & Justina A.V. Fischer, 2006. "Cross-Country Determinants of Life Satisfaction: Exploring Different Determinants across Groups in Society," KOF Working papers 06-145, KOF Swiss Economic Institute, ETH Zurich.
  11. DiTella, Rafael & MacCulloch, Robert & Oswald, Andrew J., 2001. "Preferences over inflation and unemployment: Evidence from surveys of happiness," ZEI Working Papers B 03-2001, ZEI - Center for European Integration Studies, University of Bonn.
  12. Smith, Adam, 1776. "An Inquiry into the Nature and Causes of the Wealth of Nations," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, number smith1776.
  13. Wen Xin & Russell Smyth, 2010. "Economic Openness and Subjective Well-being in China," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 18(2), pages 22-40.
  14. Bernard M.S. Van Praag, 2010. "Well-being Inequality and Reference Groups - An Agenda for New Research," CESifo Working Paper Series 2984, CESifo Group Munich.
  15. Anna Maria Mayda (Georgetown University) and Dani Rodrik (Harvard University), 2005. "Why are some people (and countries) more protectionist than others?," Working Papers gueconwpa~05-05-11, Georgetown University, Department of Economics.
  16. Faruk Gul & Wolfgang Pesendorfer, 2007. "Welfare without Happiness," American Economic Review, American Economic Association, vol. 97(2), pages 471-476, May.
  17. Zohal Hessami, 2011. "Globalization's Winners and Losers - Evidence from Life Satisfaction Data, 1975 -2001," Working Paper Series of the Department of Economics, University of Konstanz 2011-12, Department of Economics, University of Konstanz.
  18. O'Rourke, Kevin H, 2003. "Heckscher-Ohlin Theory and Individual Attitudes Towards Globalization," CEPR Discussion Papers 4018, C.E.P.R. Discussion Papers.
  19. Wolfers, Justin, 2003. "Is Business Cycle Volatility Costly? Evidence from Surveys of Subjective Well-Being," Research Papers 1751r, Stanford University, Graduate School of Business.
  20. John Whalley, 2005. "Globalization and Values," CESifo Working Paper Series 1441, CESifo Group Munich.
  21. Richard Easterlin, 2005. "Diminishing Marginal Utility of Income? Caveat Emptor," Social Indicators Research, Springer, vol. 70(3), pages 243-255, 02.
  22. Winkelmann, Liliana & Winkelmann, Rainer, 1998. "Why Are the Unemployed So Unhappy? Evidence from Panel Data," Economica, London School of Economics and Political Science, vol. 65(257), pages 1-15, February.
  23. Milner, Helen V. & Tingley, Dustin H., 2011. "Who Supports Global Economic Engagement? The Sources of Preferences in American Foreign Economic Policy," International Organization, Cambridge University Press, vol. 65(01), pages 37-68, January.
  24. John F. Helliwell & Christopher P. Barrington-Leigh, 2010. "Viewpoint: Measuring and understanding subjective well-being," Canadian Journal of Economics, Canadian Economics Association, vol. 43(3), pages 729-753, August.
  25. Di Tella, Rafael & MacCulloch, Robert J. & Oswald, Andrew J., 2001. "The Macroeconomics of Happiness," The Warwick Economics Research Paper Series (TWERPS) 615, University of Warwick, Department of Economics.
  26. Scheve, Kenneth F. & Slaughter, Matthew J., 2001. "What determines individual trade-policy preferences?," Journal of International Economics, Elsevier, vol. 54(2), pages 267-292, August.
  27. Verme, Paolo, 2009. "Happiness, freedom and control," Journal of Economic Behavior & Organization, Elsevier, vol. 71(2), pages 146-161, August.
  28. Kee, Hiau Looi & Nicita, Alessandro & Olarreaga, Marcelo, 2006. "Estimating Trade Restrictiveness Indices," CEPR Discussion Papers 5576, C.E.P.R. Discussion Papers.
  29. Andrew E. Clark & Paul Frijters & Michael A. Shields, 2008. "Relative Income, Happiness, and Utility: An Explanation for the Easterlin Paradox and Other Puzzles," Journal of Economic Literature, American Economic Association, vol. 46(1), pages 95-144, March.
  30. Alberto Alesina & Rafael Di Tella & Robert MacCulloch, 2001. "Inequality and Happiness: Are Europeans and Americans Different?," Harvard Institute of Economic Research Working Papers 1938, Harvard - Institute of Economic Research.
  31. Jens Hainmueller & Michael J. Hiscox, 2005. "Learning to Love Globalization? Education and Individual Attitudes Toward International Trade," International Trade 0505011, EconWPA.
  32. Andrew J. Oswald & Stephen Wu, 2011. "Well-Being across America," The Review of Economics and Statistics, MIT Press, vol. 93(4), pages 1118-1134, November.
  33. Mansfield, Edward D. & Mutz, Diana C., 2009. "Support for Free Trade: Self-Interest, Sociotropic Politics, and Out-Group Anxiety," International Organization, Cambridge University Press, vol. 63(03), pages 425-457, July.
  34. Eugene Beaulieu & Michael Benarroch & James D. Gaisford, 2011. "Intra‐industry Trade Liberalization: Why Skilled Workers are More Likely to Support Free Trade," Review of International Economics, Wiley Blackwell, vol. 19(3), pages 579-594, 08.
  35. Ming-Chang Tsai, 2007. "Does globali zation affect human well-being?," Social Indicators Research, Springer, vol. 81(1), pages 103-126, March.
  36. Mary C. Daly & Daniel J. Wilson, 2008. "Happiness, unhappiness, and suicide: an empirical assessment," Working Paper Series 2008-19, Federal Reserve Bank of San Francisco.
  37. Ricardo, David, 1821. "On the Principles of Political Economy and Taxation," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, edition 3, number ricardo1821.
  38. Oswald, Andrew J. & Wu, Stephen, 2010. "Objective Confirmation of Subjective Measures of Human Well-being: Evidence from the USA," IZA Discussion Papers 4695, Institute for the Study of Labor (IZA).
  39. John F. Helliwell, 2002. "How's Life? Combining Individual and National Variables to Explain Subjective Well-Being," NBER Working Papers 9065, National Bureau of Economic Research, Inc.
  40. Carl Davidson & Steven J. Matusz & Douglas Nelson, 2012. "A Behavioral Model of Unemployment, Sociotropic Concerns, and the Political Economy of Trade Policy," Economics and Politics, Wiley Blackwell, vol. 24(1), pages 72-94, 03.
  41. Ed Diener, 1994. "Assessing subjective well-being: Progress and opportunities," Social Indicators Research, Springer, vol. 31(2), pages 103-157, February.
  42. Ada Ferrer-i-Carbonell & Paul Frijters, 2002. "How important is Methodology for the Estimates of the Determinants of Happiness?," Tinbergen Institute Discussion Papers 02-024/3, Tinbergen Institute.
  43. Ingo Geishecker, 2010. "Perceived Job Insecurity and Well-Being Revisited: Towards Conceptual Clarity," SOEPpapers on Multidisciplinary Panel Data Research 282, DIW Berlin, The German Socio-Economic Panel (SOEP).
  44. Katja B. Kleinberg & Benjamin O. Fordham, 2010. "Trade and Foreign Policy Attitudes," Journal of Conflict Resolution, Peace Science Society (International), vol. 54(5), pages 687-714, October.
  45. Kemp, Simon, 2007. "Psychology and opposition to free trade," World Trade Review, Cambridge University Press, vol. 6(01), pages 25-44, March.
  46. Chamberlain, Gary, 1980. "Analysis of Covariance with Qualitative Data," Review of Economic Studies, Wiley Blackwell, vol. 47(1), pages 225-38, January.
  47. Richard Easterlin, 2005. "Feeding the Illusion of Growth and Happiness: A Reply to Hagerty and Veenhoven," Social Indicators Research, Springer, vol. 74(3), pages 429-443, December.
  48. Clark, Andrew E & Oswald, Andrew J, 1994. "Unhappiness and Unemployment," Economic Journal, Royal Economic Society, vol. 104(424), pages 648-59, May.
  49. Dasgupta, Partha & Weale, Martin, 1992. "On measuring the quality of life," World Development, Elsevier, vol. 20(1), pages 119-131, January.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:ris:vhsuwp:2012_115. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Max Steinhardt).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.