Happiness and Economics

This text establishes the link between happiness and economics and happiness and democracy. The guide demonstrates how micro- and macro-economic systems in the form of income, unemployment, and inflation affect happiness.

"A major breakthrough in economic research."---R.E. Lane, Journal of Economics

Auteur

Bruno S. Frey & Alois Stutzer

Texte du rabat

Curiously, economists, whose discipline has much to do with human well-being, have shied away from factoring the study of happiness into their work. Happiness, they might say, is an ''unscientific'' concept. This is the first book to establish empirically the link between happiness and economics--and between happiness and democracy. Two respected economists, Bruno S. Frey and Alois Stutzer, integrate insights and findings from psychology, where attempts to measure quality of life are well-documented, as well as from sociology and political science. They demonstrate how micro- and macro-economic conditions in the form of income, unemployment, and inflation affect happiness. The research is centered on Switzerland, whose varying degrees of direct democracy from one canton to another, all within a single economy, allow for political effects to be isolated from economic effects. Not surprisingly, the authors confirm that unemployment and inflation nurture unhappiness. Their most striking revelation, however, is that the more developed the democratic institutions and the degree of local autonomy, the more satisfied people are with their lives. While such factors as rising income increase personal happiness only minimally, institutions that facilitate more individual involvement in politics (such as referendums) have a substantial effect. For countries such as the United States, where disillusionment with politics seems to be on the rise, such findings are especially significant. By applying econometrics to a real-world issue of general concern and yielding surprising results, Happiness and Economics promises to spark healthy debate over a wide range of the social sciences.

Contenu

Preface vii
PART I: Setting the Stage
CHAPTER 1: Happiness 3
CHAPTER 2: Well-Being and Economics 19
CHAPTER 3: Personality and Socio-Demograohic Influences on happiness 49
PART II: Economic Effects on Happiness
CHAPTER 4: Income 73
CHAPTER 5: Employment 95
CHAPTER 6: Inflation 111
PART III: Political Effects on Happiness
CHAPTER 7: The Current Politico-Economic Process 121
CHAPTER 8: Constitution: Popular Referenda and Federalism 133
CHAPTER 9: Outcome and Process 153
PART IV: Conclusions
CHAPTER 10: Happiness Inspires Economics 171
APPENDIX A 185
APPENDIX B 191
References 195
Data Sources 215
Index 217