nep-hap New Economics Papers
on Economics of Happiness
Issue of 2016‒10‒02
two papers chosen by

  1. Physiconomics for the identification of relativistic satisfaction By Gunes, Okay
  2. First results in modelling objective well-being in Hungary at lower territorial level By NAGY, GÁBOR; KOÓS, BÁLINT

  1. By: Gunes, Okay
    Abstract: Abstract Recent developments in identifying economic and social phenomena within the theory and laws of physics do not provide a sufficient basis of information for economists. In this article, an interdisciplinary analysis in microeconomics, is proposed to overcome this limit by establishing a new economic theory in the way of better analyzing economic problems from the methodological perspectives of physics. This new theoretical approach is tested on a model using individual time use values that identifies how life satisfaction may be defined through economic utility so as to better investigate the income-happiness paradox as pointed out by Easterlin. The theoretical analysis point out that an increase in happiness would depend on the ability to replace subsidiaries with conspicuous consumption so long as they have common characteristics that satisfy the same needs. This consumption pattern implies that consumers would draw more satisfaction from less usage of conspicuous goods than from higher usage of subsidiaries, under given budget and time constraints.
    Keywords: Time use,Relativistic Satisfaction,Satisfaction Waves,Speed of Satisfaction
    JEL: J22 D01
    Date: 2016
    Abstract: Developing complex indicators measuring economic output, added value and indicators relying on an entirely different basis, researchers worked on the assumption that economic output does not correlate strongly with people’s happiness or quality of life. Most measurements relate to countries and federal states. Only a few seek to present or model differences at lower territorial levels. This study discloses the first results of pilot calculations that have been performed as part of Hungary’s Social Renewal Programme. These explore differences at the level of Hungarian districts (LAU1) with the proviso, that the spatial structure presented only reflects what is called objective well-being. A more comprehensive picture can be obtained only if the subjective well-being dimensions incorporating and weighted by the results of a large-scale sample survey, conducted in the meantime, are also taken into account.
    Keywords: well-being, spatial structure, model-calculation, weighting process, districts
    JEL: R1 R11 R12
    Date: 2015–02

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