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Volunteering, Happiness and Public Policy

  • Martin Binder

    ()

    (Max Planck Institute of Economics, Jena, Germany)

  • Andreas Freytag

    ()

    (School of Economics and Business Administration, Friedrich-Schiller-University Jena)

Is the activity of volunteering something that benefits the volunteer as well as the recipient of the volunteer's activities? We analyze this relationship and apply matching estimators to the large-scale British Household Panel Survey (BHPS) data set to estimate the causal impact of volunteering on happiness. We take into account personality traits that could jointly determine volunteering behaviour and happiness. We find that the causal impact of volunteering on happiness is positive and increasing over time if volunteering is sustained. In a quantile analysis, we find that this effect seems to be driven by reducing the unhappiness of the less happy quantiles of the well-being distribution. We test the robustness of our findings and discuss their relevance for public policy.

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Paper provided by Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics in its series Jena Economic Research Papers with number 2012-013.

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Date of creation: 30 Mar 2012
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Handle: RePEc:jrp:jrpwrp:2012-013
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  1. Clark, Andrew E & Oswald, Andrew J, 1994. "Unhappiness and Unemployment," Economic Journal, Royal Economic Society, vol. 104(424), pages 648-59, May.
  2. Bruno S. Frey, . "Happiness Research: State and Prospects," IEW - Working Papers 192, Institute for Empirical Research in Economics - University of Zurich.
  3. Gardner, Jonathan & Oswald, Andrew J., 2006. "Money and Mental Wellbeing: A Longitudinal Study of Medium-Sized Lottery Wins," IZA Discussion Papers 2233, Institute for the Study of Labor (IZA).
  4. Orsolya Lelkes, 2004. "Knowing what is good for you. Empirical analysis of personal preferences and the “objective good”," Others 0410010, EconWPA.
  5. Becker, Gary S, 1974. "A Theory of Social Interactions," Journal of Political Economy, University of Chicago Press, vol. 82(6), pages 1063-93, Nov.-Dec..
  6. Harbaugh, William T., 1998. "What do donations buy?: A model of philanthropy based on prestige and warm glow," Journal of Public Economics, Elsevier, vol. 67(2), pages 269-284, February.
  7. Binder, Martin & Coad, Alex, 2011. "From Average Joe's happiness to Miserable Jane and Cheerful John: using quantile regressions to analyze the full subjective well-being distribution," Journal of Economic Behavior & Organization, Elsevier, vol. 79(3), pages 275-290, August.
  8. Ada Ferrer-i-Carbonell & Paul Frijters, 2004. "How Important is Methodology for the estimates of the determinants of Happiness?," Economic Journal, Royal Economic Society, vol. 114(497), pages 641-659, 07.
  9. Ruut Veenhoven, 2010. "Greater Happiness for a Greater Number," Journal of Happiness Studies, Springer, vol. 11(5), pages 605-629, October.
  10. Christopher Boyce & Alex Wood & Nattavudh Powdthavee, 2013. "Is Personality Fixed? Personality Changes as Much as “Variable” Economic Factors and More Strongly Predicts Changes to Life Satisfaction," Social Indicators Research, Springer, vol. 111(1), pages 287-305, March.
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