Heterogeneity in the relationship between happiness and age: Evidence from the German Socio-Economic Panel
Abstract
This paper studies the evolution of life satisfaction over the life course in Germany. It clarifies the causal interpretation of the econometric model by discussing the choice of control variables and the underidentification between age, cohort and time effects. The empirical part analyzes the distribution of life satisfaction over the life course at the aggregated, subgroup and individual level. To the findings: On average, life satisfaction is mildly decreasing up to age fifty-five followed by a hump shape with a maximum at seventy. The analysis at the lower levels suggests that people differ in their life satisfaction trends, whereas the hump shape after age fifty-five is robust. No important differences between men and women are found. In contrast, education groups differ in their trends: highly educated people become happier over the life cycle, where life satisfaction decreases for less educated people.Download Info
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Paper provided by Department of Economics - University of Zurich in its series ECON - Working Papers with number 047.Length:
Date of creation: Nov 2011
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Handle: RePEc:zur:econwp:047
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Related research
Keywords: Aging; life satisfaction; well-being; happiness methodology;Find related papers by JEL classification:
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Longitudinal Data; Spatial Time Series
- I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare
- D91 - Microeconomics - - Intertemporal Choice and Growth - - - Intertemporal Consumer Choice; Life Cycle Models and Saving
This paper has been announced in the following NEP Reports:
- NEP-AGE-2012-07-29 (Economics of Ageing)
- NEP-ALL-2012-07-29 (All new papers)
- NEP-DEM-2012-07-29 (Demographic Economics)
- NEP-HAP-2012-07-29 (Economics of Happiness)
- NEP-LTV-2012-07-29 (Unemployment, Inequality & Poverty)
References
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