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Money and Mental Wellbeing : A Longitudinal Study of Medium-Sized Lottery Wins

  • Gardner, Jonathan

    (Watson Wyatt Worldwide)

  • Oswald, Andrew J.

    (Department of Economics, University of Warwick)

One of the famous questions in social science is whether money makes people happy. We offer new evidence by using longitudinal data on a random sample of Britons who receive medium-sized lottery wins of between £1000 and £120,000 (that is, up to approximately U.S. $200,000). When compared to two control groups -- one with no wins and the other with small wins -- these individuals go on eventually to exhibit significantly better psychological health. Two years after a lottery win, the average measured improvement in mental wellbeing is 1.4 GHQ points

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File URL: http://www2.warwick.ac.uk/fac/soc/economics/research/workingpapers/2006/twerp_754.pdf
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Paper provided by University of Warwick, Department of Economics in its series The Warwick Economics Research Paper Series (TWERPS) with number 754.

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Length: 27 pages
Date of creation: 2006
Date of revision:
Handle: RePEc:wrk:warwec:754
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Web page: http://www2.warwick.ac.uk/fac/soc/economics/

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