
Contents
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31 Heaven on Earth: Beneficial Effects of Sanctification for Individual and Interpersonal Well-being
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Measurement Measurement
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New Insights New Insights
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Policy Consequences Policy Consequences
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A Primer on the Economic Analysis of Happiness A Primer on the Economic Analysis of Happiness
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Income and Happiness Income and Happiness
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Paradoxical empirical findings Paradoxical empirical findings
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The role of income aspirations The role of income aspirations
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Unemployment and Happiness Unemployment and Happiness
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Unemployment reduces subjective well-being Unemployment reduces subjective well-being
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Costs of high unemployment for the employed Costs of high unemployment for the employed
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Happiness Research Challenges the Rational Consumer Hypothesis Happiness Research Challenges the Rational Consumer Hypothesis
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Limited self-control and individual well-being Limited self-control and individual well-being
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The misprediction of utility The misprediction of utility
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The Use of Happiness Research for Public Policy The Use of Happiness Research for Public Policy
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Happiness research for the current politico-economic process Happiness research for the current politico-economic process
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Valuation of public goods Valuation of public goods
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Aggregate happiness indicators as complements to gross national product Aggregate happiness indicators as complements to gross national product
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Happiness research for the constitutional level of policy Happiness research for the constitutional level of policy
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Concluding Remarks Concluding Remarks
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References References
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34 Economics and the Study of Individual Happiness
Get accessBruno S. Frey, Department of Economics, University of Zurich, Switzerland
Alois Stutzer is Professor of Political Economics and Director of the Center for Research in Economics and Well-Being at the University of Basel, Switzerland.
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Published:01 August 2013
Cite
Abstract
In recent years, the use of happiness data has been influential within economics. Measures of self-reported happiness or life satisfaction provide economists with a means to proxy the concepts of utility or individual welfare. This provides a number of new insights. For instance, the life satisfaction approach enables policy-makers to capture individuals’ preferences and the benefits obtained from non-market goods and services in a novel way. As a consequence, insights from happiness research can provide a useful input into politico-economic decisions. In time, aggregate happiness indicators may become a relevant macro input into political discourse, whilst happiness research can be applied to comparative institutional analyses of, for example, democracy and federalism.
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