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Explaining happiness trends in Europe
Richard A Easterlin1,2,3, Kelsey J O'Connor4,5
1Department of Economics, University of Southern California, Los Angeles, CA 90007.
Generous welfare state programs significantly impact happiness trends in Europe. Long-term analysis shows welfare generosity, not economic growth, drives changes in national happiness levels.
Area of Science:
- Social Sciences
- Economics
- Political Science
Background:
- National happiness levels have varied across European countries since the early 1980s.
- Understanding the drivers of these happiness trends is crucial for policy-making.
Purpose of the Study:
- To investigate the primary factors influencing changes in overall happiness in European countries over the long term.
- To differentiate between short-term correlational data and long-term causal relationships affecting happiness.
Main Methods:
- A time-series analysis was conducted on data from 10 Northern, Western, and Southern European countries.
- Cross-sectional analysis of recent data was also performed for comparative purposes.
Main Results:
- Long-term time-series data indicate a strong positive correlation between the generosity of welfare state programs and increasing happiness.
- Conversely, declining welfare generosity is associated with declining happiness.
- Cross-sectional analysis of recent data suggested economic growth, social capital, and environmental quality as drivers, but these lacked long-term significance.
Conclusions:
- The generosity of welfare state programs is the principal determinant of changes in national happiness in Europe over the long term.
- Factors like economic growth, social capital, and environmental quality do not significantly predict long-term happiness trends.
- Policy interventions focused on welfare generosity are likely to have the most substantial impact on population well-being.
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