Understanding Multidimensional Aspects of Happiness and wellbeing

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Understanding Multidimensional Aspects of Happiness and wellbeing Thanawit Bunsit Department of Economics, University of Bath The economics of

1 Understanding Multidimensional Aspects of Happiness and wellbeing Thanawit Bunsit Department of Economics, University of Bath The economics of happiness and wellbeing workshop: building on theory, method through practice Universidade Federal Fluminense, Rio de Janeiro, Brazil 17 th May, 2011

2 Workshop objective By the end of this workshop, the participants will be able to: i) describe foundation concepts and theories of happiness and wellbeing in different aspects. ii) distinguish between objective and subjective wellbeing, hedonic and eudaimonic wellbeing. iii) evaluate multidimensional concepts of happiness and wellbeing and apply for further studies.

3 Outline Definitions of happiness Wellbeing concepts Hedonic vs Eudaimonic Economic vs Non-economic Objective vs Subjective Happiness and wellbeing comparisons Conclusion Questions and discussion

4 Happiness etymology Late 14c., lucky, favored by fortune, prosperous; of events, turning out well, from hap(n.) chance, fortune +-y Sense of very glad first recorded late 14c. 1520s, good fortune, from happy +-ness. Meaning pleasant and contented mental state is from 1950s.

5 Activity 1 In group, discuss the meaning of happiness and give a report. What is the most popular definition among group members? What are the reasons behind those answers? Thanawit Bunsit. Department of Economics, University of Bath. Present at Universidade Federal Fluminense, RJ, Brazil. 17th May, 2011.

6 Happiness nature Relational and non-relational happiness i) He is happy. ii) Lincoln may be very happy every Friday that he is leaving town for the weekend with his family even though he is not happy (he had a bad week); and he may be happy on Sunday even though he is not happy that he has to go to work tomorrow (he had a good weekend). Happiness has an occurrent and dispositional sense i) Occurrent happiness can be identified with pleasure - Rita is happy means that she feels or is experiencing happiness; she is in good spirits; she feels good etc. ii) Only occurrent happiness can come and go in the space of minutes or hours, though, for dispositional happiness depends on what happens over a long period of time.

7 Aristotelian philosophy Happiness is not a state of mind but is rather an activity in accordance with virtue. In Aristotelian philosophy, the two essentials of being happy (i.e., experiencing the good life or eudaimonia) are thought to be engaging in activities that (1) are freely chosen and desired for their own sake (i.e., intrinsically motivating activity) and (2) provide opportunities to maximize one s potential and foster genuine positive relations with others.

8 Happiness philosophy Happiness is identified with the composure and tranquility of mind that comes from leading a virtuous or good life. (Adam Smith) Happiness depends on moral goodness and nothing else whatever (Cicero 1971 p. 76), although it is allowed that external things, including wealth, food, clothing, shelter and things of the body, are advantageous providing that they are indulged only in moderation and are treated with proper contempt. Happiness needs the external goods as well; for it is impossible, or not easy, to do noble acts without the proper equipment. (Aristotle, 350 B.C.E)

9 Utilitarian philosophy Utilitarianism and utilitarian influenced economics Most utilitarianism reduced wellbeing to well-feeling (typically seen as pleasure), and further reduced wellfeeling to a scalar-unitary pleasure, utility (Easterlin, 2001; Gasper 2007). It is through individuals attempting to maximise pleasure and self-interest that the good society is built. (Bentham)

10 Happiness and economics The economics of happiness is an approach to assessing welfare which combines the techniques typically used by economists with those more commonly used by psychologists. (Graham, 2009) Simply stated, the happiness-income paradox is this: at a point in time both among and within countries, happiness and income are positively correlated. But, over time, happiness does not increase when a country's income increases. (Easterlin, 1974) In macroeconomics, the misery index, created by Arthur Okun, was the early economic indicator concerning happiness and welfare of people in a country. It can be found by adding the unemployment rate to the inflation rate.

11 US misery index Misery index = Unemployment rate + Inflation rate # President Time Period Average Low High Start End Change 4 Harry Truman Dec 1952 = 3.45 Jan 1948 = Dwight D. Eisenhower Jul 1953 = 2.97 Apr 1958 = John F. Kennedy Jul 1962 = 6.40 Jul 1961 = Lyndon B. Johnson Nov 1965 = 5.70 Jul 1968 = Richard Nixon Jan 1969 = 7.80 Jul 1974 = Gerald Ford Dec 1976 = Jan 1975 = Jimmy Carter Apr 1978 = Jun 1980 = Ronald Reagan Dec 1986 = 7.70 Jan 1981 = George H. W. Bush Sep 1989 = 9.64 Nov 1990 = Bill Clinton Apr 1998 = 5.74 Jan 1993 = George W. Bush Oct 2006 = 5.71 Aug 2008 = N/A Barack Obama 2009 Present July 2009 = 7.30 Dec 2009 =

12 Activity 2 In group, brainstorm for the concise definition of wellbeing. What will you include in your wellbeing concept? What is the rationale or ideology behind your concept? Thanawit Bunsit. Department of Economics, University of Bath. Present at Universidade Federal Fluminense, RJ, Brazil. 17th May, 2011.

13 Wellbeing definition Wellbeing is a state of being with others, where human needs aremet, where one can act meaningfully to pursue one s goals, and where one enjoys a satisfactory quality of life. (Wellbeing in Developing Countries Research (WeD), University of Bath, 2009) Wellbeing is a concept or abstraction used to refer to whatever is assessed in an evaluation of a person s life situation or being. (Gasper, 2002) Wellbeing has been of central interest as a heart of developmenteconomics today, albeit labelled as poverty reduction. (Kanbur and Squire, 1999)

14 Is wellbeing multidimensional? Wellbeing is multidimensional, existing across continents, countries, contexts, and types of people. (Narayan 2000; Diener et al 1997, 1999; and Van Praag, Frijters, and Ferrer-i-carbonell 2002). A good quality of life includes: 1.Material wellbeing (having enough food, assets and work etc.) 2. Bodily wellbeing (i.e. being strong, well and looking good, healthy, access to health services, being able to dress and appear well, and physical environment) 3. Social wellbeing (i.e. caring for and settling children, having selfrespect, peace and good relations in the family and community, having self-respect and dignity, peace, harmony and good relations in the family and the community) 4. Having security and confidence in the future including civil peace, a physically safe and secure environment, personal physical security, lawfulness and access to justice, security in old age and confidence in the future) 5. Having freedom of choice and action including being able to help other people in the community

15 The evolution of the wellbeing meaning and measures Universal rights, livelihoods, freedom: The MDGs and new areas, risk and empowerment 2000s Human development/capabilities: 1980s Human development and sustainability Basic needs: 1970s GDP per capita growth + Basic goods Economic wellbeing: 1960s GDP per capita growth Economic wellbeing: 1950s GDP growth

16 Hedonic vs Eudaimonic Hedonic -Three major aspects of wellbeing: experiences of happiness, experiences of unhappiness, and experiences of contentment -It is more commonly referred to as happiness or life satisfaction in psychological literature, and is defined in the now large body of work on subjective well-being. -Buddhism, attachment to pleasure is even conceived of as a hindrance to achieving happiness. Eudaimonic -Eudaimonia refers to wellbeing as distinct from happiness. Subjective happiness cannot be equated with wellbeing. - The experience of enriching activities and personal growth. -Engagement in purposeful and meaningful activities that provide opportunities for personal growth, positive relations with others, feelings of mastery, and positive self-regard. -Not all desires-not all outcomes that a person might value-would yield wellbeing when achieved.

Hedonic Psychology and Happiness Hedonic Psychology: Wellbeing and hedonism are essentially equivalent. Defining wellbeing in terms of pleasure versus pain.

17 Hedonic Psychology and Happiness Hedonic Psychology: Wellbeing and hedonism are essentially equivalent. Defining wellbeing in terms of pleasure versus pain. Research and intervention: maximising human happiness Daniel Kahneman, an Israeli-Americanpsychologist, awarded the 2002 Nobel laureate in Economics (

18 Hedonic View Aristippus (4 th Century B.C.) The goal of life is to experience the maximum amount of pleasure, and the happiness is the totality of one s hedonic moments. Hobbes Happiness lies in the successful pursuit of our human appetites. DeSade Pursuit of sensation and pleasureis the ultimate goal of life. Bentham It is through individuals attempting to maximise pleasure and self-interest that the good society is built.

19 Fromm (1981) Waterman (1993) Ryff and Singer (2000) Eudaimonic View Optimal wellbeing requires distinguishing between purely subjectively felt needsand objectively valid needs Eudaimonia occurs when people s life activitiesare most congruent or meshing with deeply held values and are holistically fully engaged. Wellbeing is the striving for perfection that represents the realisation of one s true potential. Ryan and Deci (2000) Self-determination theory (SDT) Satisfaction of the three basic psychological needs: autonomy, competence, and relatedness

20 Economic vs Non-economic 1. Income per capita -GDP per capita -Real wage - Unemployment rate 2. Income poverty lines 3. Income inequality -Poverty gap and severity indices at a dollar-a-day per capita -Expenditure of bottom quintile as percentage of total expenditure - Gini coefficient Economic indicators - Population living under a dollar-a-day per capita (%) - Population living under the national poverty line (%) -Population vulnerable to poverty through variance of income or assets 1. Education - Education enrolment rates -Survival to the final primary or secondary school grade - Literacy rates 3. Environment Non-economic indicators 2. Health and nutrition - Malnutrition rates -Mortality and morbidity rates/ life expectancy rates - Health service usage - Access to improved water sources - Access to adequate sanitation - Household infrastructure 4. Empowerment and participation - Participation in general and local voting - Extent of knowledge of local projects -Number, size and revenue of active NGOs

21 Objective vs Subjective Objective wellbeingtheories are usually supported by a list of requirements that people should have satisfied in order to lead a good life such as health, housing condition, education attainment. Subjective wellbeing refers to people s judgments about their own state concerning their enduring mood such as happiness as well as their assessment of the self-including satisfaction with one s physical and mental health. Human functioning which refers to the relation between the material and psychosocial environment, (for example life satisfaction, work satisfaction) is also an important aspect of this subjective wellbeing (Siegrist, 2003). A functioning is an achievement of a person: what she or he manages to do or be. It reflects, as it were, a part of the state of that person (Sen, 1985, p.10).

22 Objective vs Subjective Wellbeing Objective wellbeing Subjective wellbeing Example: -Health - Housing condition - Education attainment - Income and saving - Consumption level -Nutrition Affective 1. Pleasant affect 2. Unpleasant affect Cognitive Satisfaction with life as a whole Satisfaction with life domains

23 Diener s SWB components (1999) Components of SWB Pleasant affect Unpleasant affect Life satisfaction Domain satisfactions -Joy -Guilt and shame -Desire to change life -Work -Elation -Contentment -Pride -Sadness -Anxiety and worry -Anger -Satisfaction with current life -Satisfaction with past -Family -Leisure health -Finances -Affection -Happiness -Ecstasy -Stress -Depression -Envy -Satisfaction with future -Significant others views of one s life -Self

24 Comparative overview of different concepts of wellbeing Aristotelian Psychology Economics Sen s approach Nussbaum Doyal and Gough Diener Dasgupta Deci and Ryan Max-Neef s model of human needs Maslow s hierarchical needs To maximise pleasure and self-interest that the good society is built. Emphasise on hedonic wellbeing Mainly based on Utilitarian philosophy and used economic factors Attention all levels, but emphasises functionings and especially capability A substantive conception of key elements of a decent human life A rigorous theory of need, which derives the needs implied by alternative specifications of required wellbeing/functioning Prominent research on subjective wellbeing (SWB), a multidimensional field in psychology In practice a combination of individual desire-fulfilment, health, education, political and civil liberties A more theorised approach to SWB: priority of fulfilment of humans posited true/best nature Having, doing, and interacting, as well as being in each of a series of life spheres Different hierarchical structures of needs provide different types and levels of wellbeing

25 Maslow s hierarchical needs and wellbeing Maslow s hierarchical needs Some wellbeing outcomes Self-actualisation Self-esteem Belonging/Love Safety Basic (Physiological) - Actively seeking knowledge - Inspired to reach potential -Empowered -Confident - Included, Participating -Loved - Safe, Secure -Settled -Healthy -Vitality

26 Determinants of happiness and wellbeing Wellbeing and happiness literatures showed that wellbeing is influenced by several factors which can be distinguish into five main types: 1) Personality factors such as self esteem, personal control, optimism 2) Socio-demographic factors such as age, gender, marital status, education 3) Economic factors such as individual income, unemployment 4) Contextual and situational factors such as working or health conditions 5) Institutional factors such as political participation right

27 Wellbeing perception comparisons between regions Example of Wellbeing comparisons between regions in Thailand Region Wellbeing or Rich Illbeing or Poor South Northeast Bangkok -Live comfortably -No need to struggle -Have many ways to earn a living -Have plenty of lands, gardens -Able to provide loan -Able to buy everything wanted -Pay in cash -Have heritage or money -Own a small plot of land between 2-4 acres -Indebted to a few banks -Own very little land -Do not produce enough for themselves -Earn daily wages -Work in other provinces for months -loans are provided for because there are enough assets for collateral guarantee -Earn their livings day by day -Buy things on credit -Have few pieces of lands -Have land for dwelling only -Lives have been worsen off -Almost have no food, live in poverty -Hardship in eating and living -Sometimes there is enough to eat, sometimes there isn t -No money -No work -Indebted -Renting their farmland -No money, depending on others such as relatives, children and elderly

28 Wellbeing perception comparisons between regions Example of Wellbeing among Thai elderly Wellbeing dimension Description Harmony Interdependence Acceptance Respect Enjoyment Source: Ingersoll-Dayton et al, Experiencing peaceful and happy interactions with and among family members, friends, and neighbours; the success of one s children in their work responsibilities and family relationship. Providing assistance to and receiving assistance from family members and others. Relinquishing upsetting thoughts and accepting life circumstance. Feeling one s advice is heeded and one s wisdom is appreciated. Appreciating simple pleasures that involve others as well as solitary pursuits.

29 Activity 3 In group, discuss and define your perception of wellbeing and illbeing. Then, from your experience, identify the possible indicators for wellbeing and illbeing from different regions of Brazil. Thanawit Bunsit. Department of Economics, University of Bath. Present at Universidade Federal Fluminense, RJ, Brazil. 17th May, 2011.

30 Conclusion To understand happiness and wellbeing, different approaches and theories are needed for conceptualising these ambiguous ideas. Given the differences between concepts and theories, there are the areas of overlapping of those approaches which can be very useful for research applications. Two general groups of wellbeing viewpoint are the hedonic and eudaimonic wellbeing. The first one focuses on subjective side, whereas the latter one deals with psychological wellbeing in terms of fully functioning person, happiness and meaningfulness, selfactualisation and vitality Multidimensional aspects of happiness and wellbeing can lead to the better research for understanding human behaviour which leads to a more effective public policies.

31 Further reading Frey, B. S. and Stutzer. (2002). What can Economist Learn from Happiness Research? in Journal of Economic Literature. Vol. XL (June), pp Hird, S., What is wellbeing? a brief review of current literature and concepts. NHS health Scotland. Available from: Kahneman, D., Diener, E., and Schwarz, N., (eds.) Well-being: the foundations of hedonic psychology. New York: Russell Sage Foundation. Kashdana, T. B., Uswatteb, G., and Julian, T. (2006) Gratitude and hedonic and eudaimonic well-being in Vietnam war veterans. in Behaviour Research and Therapy. 44: Keyes, C. L. M., Subjective well-being in mental health and human development research worldwide: and introduction, in Social indicators research. 77, pp Layard, R., Happiness: lessons from a new science. London: Allen Lane, the Penguin group. Narayan et al, Crying out for change: voices of the poor. Oxford: Oxford University Press. Ryan, R. M. and Deci, E. L. (2001) On Happiness and Human Potentials: A Review of Research on Hedonic and Eudaimonic Well-being. in Annual review Psychology. 52:

32 Muito obrigado Thanawit Bunsit. Department of Economics, University of Bath. Present at Universidade Federal Fluminense, RJ, Brazil. 17th May, 2011.

PSYCHOLOGICAL AND SUBJECTIVE WELLBEING: A PROPOSAL FOR INTERNATIONALLY COMPARABLE INDICATORS

PSYCHOLOGICAL AND SUBJECTIVE WELLBEING: A PROPOSAL FOR INTERNATIONALLY COMPARABLE INDICATORS Author: Emma Samman, OPHI, University of Oxford Presenter: Laura Camfield, Wellbeing in Developing Countries