Measuring Subjective Well-Being for Policy and Individual Use Ed Diener University of Illinois and The Gallup Orgnization Mexico City: INEGI April 17, 2013
My Gratitude INEGI, FLACSO, AIDLE Mariano Rojas Ricardo Rodriquez
MESSAGE! It is Time to Create National Measures of Subjective Well- Being ( Happiness ) to Complement Other Social Indicators
Themes: 1. The Happy Society is the Good Society 2. Beyond money income is not enough 3. We need to measure happiness (Subjective Well-Being)
What is Subjective Well-Being (SWB)? People s evaluations of their lives Thoughts and feelings about how their life is going. Examples: My life is just great! I am really enjoying life! or I am depressed most of the time I am a loser!
Components of SWB 1. Positive feelings Frequent love, joy, & enjoyment 2. Low negative feelings Infrequent sadness, anger, & anxiety 3. Satisfaction High life satisfaction Satisfaction with work, health, relations, etc.
How Do We Assess Subjective Well-Being? Self-report surveys: How satisfied are you? Family and friends Smiling, laughing Biological indicators Cognitive measures (e.g., memory) These CONVERGE!
Issue 1: Are SWB Measures Valid? Self-reports Experience Sampling Informant Reports Biological Measures SWB Objective Behavior Memory and RT Interview
10: Best Possible Life Gallup World Poll 9 8 7 6 5 4 3 2 1 0: Worst Possible Life
International Differences in "Ladder" Scores World Countries & "Ladder" Scores 0 to 5 5 to 6 6 to 9 No data
Are The Measures Valid? Yes! They correlate with each other They predict future behavior Not perfect, but pretty good Grade: B
Three Reasons to Measure SWB A. It is democratic -- Everyone wants to be happy B. SWB broadly reflects quality of life C. It produces good outcomes
A. All People Want to Be Happy Importance of happiness: -- Rated higher than love, money, success It is why we want everything else! Why do people want to be rich or healthy? To be happy!
B. SWB Broadly Reflects Quality of Life We now use mostly economic measures to reflect QOL: GDP, GDP growth, etc. But SWB reflects more aspects of QOL Example: Social Relationships
SWB Reflects Social Quality of Life Distrust Crime Corruption Social capital Volunteering Social support Can count on others Respect
SWB Reflects Environmental Quality of Life Green space Air pollution Airport noise Difficult commuting
Beyond GDP Measures of SWB Broadly Reflect the Quality of Life of Societies Predictors of National Life Satisfaction (Betas) GDP (.32) Corruption (.23) Can count on others (.35) Life expectancy (.19) N = 152 nations
Monoj
In sum, Subjective Well-Being Measures Summarize Much About Societal QOL -- and Weight Them Economic well-being Quality of social relationships Quality of the environment Health
Western Hemisphere (2005-2012) Nation Ladder GDP % Gov Respect Count Satisf. $ Corrupt On Togo 3.1 1048 88 76 34 Haiti 4.1 1235 81 66 62 Mexico 6.9 14653 78 91 86 Costa Rica 7.2 11923 81 95 91 USA 7.3 48328 69 92 94 Denmark 7.8 37048 16 95 96
Not Just What Nations are Happy. -- Who and Where? SWB can tell us what groups have problems and Where there are problems and What Might Be Causing Problems
Life Satisfaction in Counties of the USA
C. SWB Causes Other Good Things!! It is a Valuable Resource! Happiness not just an outcome Happiness CAUSES good things Example: People with friends are happier -- But also happier people have more and closer friends
OUTCOMES of High Subjective Well-being Better social relationships Better health and longevity Better citizenship Better work outcomes
Happy People Have More Friends!
Moaner Lisa Happy Lisa
Social Outcomes of Happiness Better marriages Less divorce Better citizenship Example: Volunteering
Happiness Health Outcomes Better health behaviors Have stronger immune systems Less inflammation Less cardiovascular disease Fewer infections Live longer
Happy Nuns Lived 10 Years Longer than Unhappy Nuns
Benefits of SWB in the Workplace Employer: I don t care if my workers are happy or not, I just want them to work hard!!
Businesses with Happy Workers Lower healthcare costs Greater customer loyalty Lower employee turnover Greater productivity and creativity
Worker Satisfaction & Firm Value Alex Edmans (Wharton) Companies with satisfied workers: In ensuing years have higher share prices, controlling for other factors
National Accounts of SWB can provide information for: 1. Policy makers 2. The public
Policy Examples: 1. Allocating money to disease treatment and research -- amount of misery caused 2. Reducing airport noise 3. Zoning requiring green space 4. Awarding damages in lawsuits
Satisfaction SWB Measures: Public Education Example:.8.7.6.5.4.3 0 40,000 80,000 120,000 160,000 20,000 60,000 100,000 140,000 Income in Dollars
Will You Be Happier with Kids? -- Average person: No
Happier Without a Spouse? Should I Kill My Husband?
Plus, You Will Become Unemployed
Summary: National Accounts of SWB: 1. Measure something people highly value 2. Help assess quality of life in societies, groups, and regions 3. Reflect a valuable resource, happiness, that itself helps a society flourish
OECD Guidelines on Measuring Subjective Well-Being OECD (2013), OECD Guidelines on Measuring Subjective Well-being, OECD Publishing. http://dx.doi.org/10.1787/9789264191655-en
Thank You!! Questions??