This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Slide 1
The Dynamics of Happiness: Evidence from Daily Panel Data Miles
Kimball, Fumio Ohtake and Yoshiro Tsutsui RAs: Yuki Kosaka and Noah
Smith
Slide 2
Two Meanings of Happiness The grand meaning: the greatest good
for an individual, as viewed by that individual. The narrow
meaning: feeling happy.
Slide 3
The Big Question: Connection Between These Two Meanings? Why it
matters: The greatest good for an individual as viewed by that
individual is closely related to welfare concepts in economics.
Data on how happy people say they feel is abundant.
Slide 4
The relationship between long-run happiness and economic
welfare concepts is controversial. Choices that do not maximize
happiness e.g., commuting further: bigger house and yard more pay
aggravating commute that dominates the effect of this choice on
happiness Easterlin Paradox: strong upward trend in income, no
trend in happiness
Slide 5
The Easterlin Paradox
Slide 6
So, we focus on the short-run responses of happiness to news.
Theory from Kimball and Willis (2007) Utility and Happiness:
Happiness and News After good news about anything, measured
happiness will temporarily spike up. After bad news about anything,
measured happiness will temporarily dip down. Economic Definition
of Good and Bad News Good news is anything that raises expected
lifetime utility. Bad news is anything that lowers expected
lifetime utility.
Slide 7
USA: The Happiness Index on the Reuters/UM Surveys of Consumers
Now think about the past week and the feelings you have
experienced. Please tell me if each of the following was true for
you much of the time this past week: 1.Much of the time during the
past week, you felt you were happy. (Would you say yes or no)?
2.(Much of the time during the past week,) you felt sad. (Would you
say yes or no?) 3.(Much of the time during the past week,) you
enjoyed life. (Would you say yes or no?) 4.(Much of the time during
the past week,) you felt depressed. (Would you say yes or no?)
Slide 8
Slide 9
Slide 10
Japan: The Osaka University Panel Study of Happiness Dynamics
71 Osaka University Undergraduates 49 male, 22 female Answered
daily web survey for 273 days (so far). Often used web-capable
cell-phones High response rates Total of 17258 person-day
observations
Slide 11
Slide 12
Histogram of Average Happiness (averaged across
individuals)
Slide 13
Histogram of Average Personal News Ratings
Slide 14
Histogram of Average National News Ratings
Slide 15
Scatterplot of Happiness vs. Same- Day Personal News
Slide 16
Scatterplot of Happiness vs. Same- Day National News