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Inequality and Happiness in Urban China

Author

Listed:
  • Russell Smyth

    (Monash University)

  • Xiaolei Qian

    (Monash University)

Abstract

This note examines the relationship between inequality and happiness in urban China using a large-scale survey administered in 31 cities in September 2002. We find that those who perceive income distribution to be unequal report lower levels of happiness, although results differ between high and low income individuals. We also examine the effect of reference group income on reported happiness and find that having wealthier city-mates lowers reported happiness, controlling for own income.

Suggested Citation

  • Russell Smyth & Xiaolei Qian, 2008. "Inequality and Happiness in Urban China," Economics Bulletin, AccessEcon, vol. 4(24), pages 1-10.
    • Handle: RePEc:ebl:ecbull:eb-08d30003
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    References listed on IDEAS

    as
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    Keywords

    Happiness;

    JEL classification:

    • D3 - Microeconomics - - Distribution

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