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on Economics of Happiness |
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Issue of 2026–06–08
five papers chosen by Viviana Di Giovinazzo, Università degli Studi di Milano-Bicocca |
| By: | OECD |
| Abstract: | This paper examines how tax-benefit systems relate to subjective well-being in European countries using both micro- and macro-level data. At the micro level, net transfers are strongly and positively associated with life satisfaction among the bottom half of the income distribution, while net taxes have only weak or slightly negative associations for the top income quintile. At the aggregate level, the tax burden is negatively associated with life satisfaction, but this relationship is weaker, or even offset, in countries with high government effectiveness. Overall, inclusive tax-benefit systems can enhance subjective well-being when combined with good governance. |
| Keywords: | governance, income distribution, life satisfaction, redistribution, subjective well-being, tax benefit system |
| JEL: | D63 H24 H53 I31 H11 |
| Date: | 2026–06–01 |
| URL: | https://d.repec.org/n?u=RePEc:oec:wiseaa:39-en |
| By: | Crispin Cooper (Cardiff University (Computer Science)); Ana Fredrich (Cardiff University (Computer Science)); Tommaso Reggiani (Cardiff University (Business); Masaryk University, Faculty of Economics and Administration, Brno, Czech Republic); Wouter Poortinga (Cardiff University (Architecture - Psychology)) |
| Abstract: | How should well-being be prioritised in society, and what trade-offs are people willing to make between fairness and personal well-being? We investigate these questions using a stated preference experiment with a nationally quasi-representative UK sample (n = 300), in which participants evaluated life satisfaction outcomes for both themselves and others under conditions of uncertainty. Individual-level utility functions were estimated using an Expected Utility Maximisation (EUM) framework and tested for sensitivity to the overweighting of small probabilities, as characterised by Cumulative Prospect Theory (CPT). A majority of participants displayed concave (risk-averse) utility curves and showed stronger aversion to inequality in societal life satisfaction outcomes than to personal risk. These preferences were unrelated to political alignment, suggesting a shared normative stance on fairness in well-being that cuts across ideological boundaries. The results challenge use of average life satisfaction as a policy metric and support the development of nonlinear utility-based alternatives that more accurately reflect collective human values. Implications for public policy and well-being measurement are discussed. |
| Keywords: | Subjective well-being; Experimental method; Inequality aversion; Expected utility; Prospect theory; Social welfare; Fairness trade-offs |
| JEL: | C91 D63 D81 |
| Date: | 2026–05 |
| URL: | https://d.repec.org/n?u=RePEc:mub:wpaper:2026-04 |
| By: | Hamilton, Alexander; Hicksonm, Ford; Schmidt, Axel J. |
| Abstract: | Being happy with one’s sex life is an important facet of sexual health. Several studies have found associations between sex life happiness and a range of individual (or proximate) and contextual (usually country-level) factors amongst men who have sex with men (MSM). Using a novel dataset, the 2017 European Men-Who-Have-Sex-With-Men Internet Survey (EMIS-2017), this paper simultaneously explores the association of both individual and contextual variables, sex life happiness, and health. Understanding and quantifying this link is important for policy makers concerned with improving health outcomes in minority, and often marginalized, populations. Results: Recency of sex and/or being in a steady sexual relationship had the largest positive associations with higher self-reported sex life happiness. Being single had the largest negative association. Among individual-level factors, not having experienced homophobia and being out to a majority of one’s social network were most strongly associated with sex life happiness. At the country-level, there is evidence that living in a country with a more authoritarian political regime is associated with less sex life happiness. Mediation analysis shows that authoritarian regimes are also indirectly negatively associated with sex life happiness via the likelihood of being open about one’s sexuality. This study provides a strong basis for further research exploring the potentially complex associations between proximate and contextual variables in determining sex life happiness amongst populations of men who have sex with men. |
| Date: | 2026–05–18 |
| URL: | https://d.repec.org/n?u=RePEc:wbk:wbrwps:11382 |
| By: | Oswald, Andrew (University of Warwick) |
| Abstract: | In this short article I try to provide a description of the first conference on the economics of happiness. It was held in 1993 at the London School of Economics. In the ensuing three decades, a huge literature has emerged in this field. I attempt to offer a view on why this has happened. |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:wrk:warwec:1613 |
| By: | Kate Prickett (Motu Economic and Public Policy Research) |
| Abstract: | Adolescence and young adulthood are sensitive periods for the development of mental distress, and timely support can prevent early signs of distress from escalating. This review examines the effectiveness of early intervention and secondary prevention approaches for supporting the mental health and wellbeing of young people and rangatahi aged 12-24 years, with a particular focus on those experiencing low to moderate distress. The review draws on a structured scan of published and grey literature, identifying 20 evaluation papers covering 16 interventions across therapy-based brief interventions, community-based services, e-therapy, digital tools, and family-integrated approaches. Overall, the evidence suggests that many early intervention and secondary prevention supports, including brief and low-intensity approaches, can reduce distress and improve wellbeing, functioning, and coping. Effects were most consistent for broad outcomes such as distress, wellbeing, and functioning, while findings for anxiety and depressive symptoms were more mixed. Accessibility, youth-friendly delivery, sustained engagement, and co-design with young people emerged as important enablers of effectiveness. Culturally appropriate, co-designed, and Indigenous-led approaches also appear important for improving acceptability and engagement for rangatahi Māori. However, the evidence base remains uneven, with a need for stronger evaluation of what works best, for whom, and under what delivery conditions. |
| Keywords: | Youth mental health; rangatahi Māori; early intervention; secondary prevention; mental distress; wellbeing; digital mental health; e-therapy; co-design; culturally responsive services; Aotearoa New Zealand. |
| JEL: | I10 I12 I18 J13 H51 |
| Date: | 2026–06–02 |
| URL: | https://d.repec.org/n?u=RePEc:mtu:wpaper:26_07 |