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

Author

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  • Daniel Miles
  • Maximo Rossi

Abstract

In this article we show evidence which suggests that changes in an individual's relative position affects his subjective well-being (SWB). 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 results are based on a simple experimental design to discuss whether learning about one's relative position affects SWB. Additionally, using nonexperimental data we find a significant association between SWB and relative wage.

Suggested Citation

  • Daniel Miles & Maximo Rossi, 2007. "Learning about one's relative position and subjective well-being," Applied Economics, Taylor & Francis Journals, vol. 39(13), pages 1711-1718.
  • Handle: RePEc:taf:applec:v:39:y:2007:i:13:p:1711-1718
    DOI: 10.1080/00036840600660721
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    References listed on IDEAS

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    1. Sendhil Mullainathan & Marianne Bertrand, 2001. "Do People Mean What They Say? Implications for Subjective Survey Data," American Economic Review, American Economic Association, vol. 91(2), pages 67-72, May.
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    Cited by:

    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.
    2. Paul, Satya & Guilbert, Daniel, 2013. "Income–happiness paradox in Australia: Testing the theories of adaptation and social comparison," Economic Modelling, Elsevier, vol. 30(C), pages 900-910.
    3. Ivlevs, Artjoms, 2016. "Happy Hosts? International Tourist Arrivals and Residents' Subjective Well-being in Europe," IZA Discussion Papers 10087, Institute for the Study of Labor (IZA).
    4. repec:spr:jhappi:v:18:y:2017:i:4:d:10.1007_s10902-016-9757-6 is not listed on IDEAS
    5. Jérémy CELSE, 2011. "Damaging the perfect image of athletes: How sport promotes envy," Working Papers 11-16, LAMETA, Universtiy of Montpellier, revised Jun 2011.
    6. Wen-Chun Chang, 2013. "Climbing up the Social Ladders: Identity, Relative Income, and Subjective Well-being," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 113(1), pages 513-535, August.

    More about this item

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

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