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Learning about one’s relative position and subjective well-being

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Author Info
Daniel Miles () (Facultad de Economía, Universidad de Vigo)
Máximo Rossi () (Departamento de Economía, Facultad de Ciencias Sociales, Universidad de la República)

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Abstract

In this paper we show evidence which suggests that changes in an individual’s relative position affects his subjective well-being. In this sense, our findings are in line with those who argue that a felicity function should take into account both, absolute and relative position. Our result are based on a simple experimental design to discuss whether learning about one’s relative position affects subjective well-being. Additionally, using nonexperimental data we find a significant association between subjective well-being and relative wage.

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File URL: http://decon.edu.uy/publica/2006/0906.pdf
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Publisher Info
Paper provided by Department of Economics - dECON in its series Documentos de Trabajo (working papers) with number 0906.

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Length: 20 pages
Date of creation: Sep 2006
Date of revision:
Handle: RePEc:ude:wpaper:0906

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Related research
Keywords: relative income; subjective well-being;

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Find related papers by JEL classification:
C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare

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  1. Fernando Borraz & Susan Pozo & Máximo Rossi, 2008. "And What About the Family Back Home? International Migration and Happiness," Documentos de Trabajo (working papers) 0308, Department of Economics - dECON. [Downloadable!]
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This page was last updated on 2009-11-9.


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