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The effect of income on general life satisfaction and dissatisfaction

Boes, Stefan; Winkelmann, Rainer (2010). The effect of income on general life satisfaction and dissatisfaction. Social Indicators Research, 95(1):111-128.

Abstract

Increasing evidence from the empirical economic and psychological literature suggests that positive and negative well-being are more than opposite ends of the same phenomenon. Two separate measures of the dependent variable may therefore be needed when analyzing the determinants of subjective well-being. We investigate asymmetries in the effect of income on subjective well-being with a single-item measure of general life satisfaction. Using data from the German Socio-Economic Panel 1984–2004, and a flexible multiple-index ordered probit panel data model with varying thresholds, we find that income has only a minor effect on high satisfaction but significantly reduces dissatisfaction.

Additional indexing

Item Type:Journal Article, refereed, original work
Communities & Collections:03 Faculty of Economics > Department of Economics
Dewey Decimal Classification:330 Economics
Scopus Subject Areas:Social Sciences & Humanities > Developmental and Educational Psychology
Social Sciences & Humanities > Arts and Humanities (miscellaneous)
Social Sciences & Humanities > Sociology and Political Science
Social Sciences & Humanities > General Social Sciences
Scope:Discipline-based scholarship (basic research)
Language:English
Date:January 2010
Deposited On:15 Dec 2009 12:55
Last Modified:03 Feb 2025 02:38
Publisher:Springer
ISSN:0303-8300
OA Status:Green
Publisher DOI:https://doi.org/10.1007/s11205-009-9452-7
Official URL:http://dx.doi.org/10.1007/s11205-009-9452-7
Other Identification Number:merlin-id:1447
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