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Life satisfaction and age: Dealing with underidentification in age-period-cohort models

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  • de Ree, Joppe
  • Alessie, Rob

Abstract

Recent literature typically finds a U shaped relationship between life satisfaction and age. Age profiles, however, are not identified without forcing arbitrary restrictions on the cohort and/or time profiles. In this paper we report what can be identified about the relationship between life satisfaction and age without applying such restrictions. Also, we identify the restrictions needed to conclude that life satisfaction is U shaped in age. For the case of Germany, we find that the relationship between life satisfaction and age is indeed U shaped, but only under the untestable condition that the linear time trend is negative and that the linear trend across birth cohorts is practically flat.

Suggested Citation

  • de Ree, Joppe & Alessie, Rob, 2011. "Life satisfaction and age: Dealing with underidentification in age-period-cohort models," Social Science & Medicine, Elsevier, vol. 73(1), pages 177-182, July.
  • Handle: RePEc:eee:socmed:v:73:y:2011:i:1:p:177-182
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    References listed on IDEAS

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    14. repec:pri:cheawb:stone_schwartz_broderick_deaton_snapshot_of_the_age_distribution_of_psych is not listed on IDEAS
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    Citations

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    Cited by:

    1. Terence C. Cheng & Nattavudh Powdthavee & Andrew J. Oswald, 2017. "Longitudinal Evidence for a Midlife Nadir in Human Well‐being: Results from Four Data Sets," Economic Journal, Royal Economic Society, vol. 127(599), pages 126-142, February.
    2. Raquel Fonseca & Arie Kapteyn & Jinkook Lee & Gema Zamarro, 2015. "Does Retirement Make You Happy? A Simultaneous Equations Approach," NBER Chapters,in: Insights in the Economics of Aging, pages 339-372 National Bureau of Economic Research, Inc.
    3. repec:eee:joecag:v:9:y:2017:i:c:p:185-207 is not listed on IDEAS
    4. Ning Li, 2016. "Multidimensionality of Longitudinal Data: Unlocking the Age-Happiness Puzzle," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 128(1), pages 305-320, August.
    5. Piper, Alan T., 2015. "Sliding down the U-shape? A dynamic panel investigation of the age-well-being relationship, focusing on young adults," Social Science & Medicine, Elsevier, vol. 143(C), pages 54-61.
    6. Piper, Alan T., 2014. "Sliding down the U-shape? An investigation of the age-well-being relationship, with a focus on young adults," MPRA Paper 55819, University Library of Munich, Germany.
    7. Marzieh Abolhassani & Rob Alessie, 2013. "Subjective Well-Being Around Retirement," De Economist, Springer, vol. 161(3), pages 349-366, September.
    8. Kadija Charni, 2016. "Is it Better to Work When We Are Older? An Empirical Comparison Between France and Great Britain," Working Papers halshs-01393268, HAL.
    9. Giacomo Pasini & Rob Alessie & Adriaan Kalwij, 2016. "When you need it or when I die? Timing of monetary transfers from parents to children," Working Papers 2016:34, Department of Economics, University of Venice "Ca' Foscari".
    10. Danilo Cavapozzi & Wei Han & Raffaele Miniaci, 2015. "Alternative weighting structures for multidimensional poverty assessment," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 13(3), pages 425-447, September.
    11. repec:spr:qualqt:v:52:y:2018:i:4:d:10.1007_s11135-017-0570-z is not listed on IDEAS
    12. Mònica González-Carrasco & Ferran Casas & Sara Malo & Ferran Viñas & Tamar Dinisman, 2017. "Changes with Age in Subjective Well-Being Through the Adolescent Years: Differences by Gender," Journal of Happiness Studies, Springer, vol. 18(1), pages 63-88, February.
    13. Angela Faßhauer & Katrin Rehdanz, 2015. "Estimating Benefits from Regional Amenities: Internal Migration and Life Satisfaction," SOEPpapers on Multidisciplinary Panel Data Research 748, DIW Berlin, The German Socio-Economic Panel (SOEP).
    14. repec:dgr:rugsom:13018-eef is not listed on IDEAS
    15. Lin, Yi-Chen & Hwang, Ruey-Ching & Deng, Wen-Shuenn, 2015. "Heterogeneity in the relationship between subjective well-being and its determinants over the life cycle: A varying-coefficient ordered probit approach," Economic Modelling, Elsevier, vol. 49(C), pages 372-386.
    16. Ning Li, 2014. "Multidimensionality of Longitudinal Data: Unlocking the Age-Happiness Puzzle," Melbourne Institute Working Paper Series wp2014n04, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.

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