Happiness Around the World : The Paradox of Happy Peasants and Miserable Millionaires

For centuries the pursuit of happiness was the preserve of either the philosopher or the voluptuary and took second place to the basic need to survive on the one hand, and the pressure to conform to social conventions and morality on the other. More recently there is a burgeoning interest in the study of happiness, in the social sciences and in the media. Can we really answer the question what makes people happy? Is it really grounded in credible methods and data? Is there consistency in the determinants of happiness across countries and cultures? Are happiness levels innate to individuals or can policy and the environment make a difference? How is happiness affected by poverty? By economic progress? Is happiness a viable objective for policy? This book is an attempt to answer these questions, based on research on the determinants of happiness in countries around the world, ranging from Peru and Russia to the U.S. and Afghanistan. The book reviews the theory and concepts of happiness, explaining how these concepts underpin a line of research which is both an attempt to understand the determinants of happiness and a tool for understanding the effects of a host of phenomena on human well being. The research finds surprising consistency in the determinants of happiness across levels of development. Yet there is still much debate over the relationship between happiness and income. The book explores the effects of many mediating factors in that relationship, ranging from macroeconomic trends and democracy to inequality and crime. It also reviews what we know about happiness and health and how that relationship varies according to income levels and health status. It concludes by discussing the potential - and the potential pitfalls - of using happiness surveys to contribute to better public policy. Contents......Page 12 List of Figures......Page 15 List of Tables......Page 16 Abbreviations......Page 18 Introduction......Page 20 CHAPTER 1 The Economics of Happiness......Page 25 The Approach......Page 27 The Easterlin Paradox......Page 31 Selected Applications of Happiness Economics......Page 35 Policy Implications......Page 39 CHAPTER 2 The Happiness and Income Debate: Substance, Methodology, and the Easterlin Paradox......Page 43 Question Framing Issues......Page 47 Country Selection Issues......Page 58 Conclusions......Page 60 Appendix 2.1......Page 65 CHAPTER 3 The Determinants of Happiness around the World......Page 66 Comparing Latin America, Russia, and the OECD......Page 70 A Bird’s Eye View of Happiness in Transition: Central Asia, Cuba, and Eastern Europe......Page 76 ‘Happiness’ in Africa......Page 85 Happiness in Afghanistan: Insights on Human Well-Being in the midst of Turmoil......Page 93 Conclusions......Page 103 CHAPTER 4 Does Happiness Matter?......Page 107 Russia in the 1990s......Page 111 Changes in Happiness in Russia, 1995–2000......Page 114 Does Happiness Matter to Future Outcomes?......Page 120 Conclusions......Page 132 CHAPTER 5 Happiness and Health across Countries and Cultures......Page 135 Happiness and Health......Page 137 Variance in the Health–Happiness Relationship: The Example of Obesity......Page 143 Poverty, Health, and Happiness......Page 148 Inequality......Page 151 How Different Illnesses Affect Your Life: Some Evidence from Well-Being Surveys and EQ-5D Scores for Latin America......Page 152 Relevance to Policy?......Page 161 CHAPTER 6 Economic Growth, Crises, Inequality, and More......Page 164 Economic Growth: An Unhappy Paradox......Page 165 The Happy Peasants and Frustrated Achievers......Page 170 The Aspirations Paradox......Page 174 Relative Incomes and Inequality—Part of the Paradox?......Page 177 Much Unhappier than Growth: Financial Crises and Well-Being......Page 185 The Misery Index: Inflation versus Unemployment......Page 192 Conclusions......Page 203 CHAPTER 7 Adapting to Good and Bad Fortune: How Friends, Freedom, Crime, and Corruption affect Happiness......Page 206 Social Capital and Friendships......Page 208 Political Freedom, Political Participation, and Happiness......Page 212 Adapting to Bad Equilibrium: Crime and Corruption......Page 221 Conclusions......Page 229 CHAPTER 8 Happiness around the World: Lessons—and Questions—for Policy......Page 232 Treading—Carefully—in the Policy Arena......Page 237 Happiness and Policy Going Forward......Page 246 References......Page 251 B......Page 260 D......Page 261 F......Page 262 I......Page 263 L......Page 264 P......Page 265 R......Page 266 U......Page 267 Z......Page 268 This Text Reviews The Theory And Concepts Of Happiness, Explaining How These Concepts Underpin A Line Of Research Which Is Both An Attempt To Understand The Determinants Of Happiness And A Tool For Understanding The Effects Of A Host Of Phenomena On Human Well Being. Carol Graham. Includes Bibliographical References And Index.