TESTING FOR UTILITY INTERDEPENDENCE IN MARRIAGE : EVIDENCE FROM PANEL DATA

This paper is the first of its kind to study utility interdependence in marriage using information on subjective well-being of a large sample of people living in the UK over the period 1991-2001. Using “residual” self-rated health to provide instrument for spouse’s well-being and allowing controls on individual fixed effects, we find strong evidence of altruism represented by interdependent relationships in the reported well-being found only among spouses, and not by partners in cohabiting union. Panel data also show that the well-being impact resulting from “caring” can be used to predict future income, unemployment, and marital status for the individuals.happiness ; altruism ; marriage ; interdependent utility

Life Satisfaction and Grandparenthood: Evidence from a Nationwide Survey

This paper tests whether there is a potential payoff to grandparenthood in terms of life satisfaction. Using the new nationwide survey for the UK, which consists of over 5,000 grandparents and 6,000 non-grandparents aged 40 and above, and a flexible multiple-index ordered probit model with varying thresholds, we find that being a grandparent to at least one grandchild is associated positively and statistically significantly with individuals reporting to be very satisfied with life overall. Parents with no grandchildren are no more satisfied with life compared to non-parents of the same age. The findings suggest that even though children may not contribute significantly to parents' satisfaction with life overall, there may well be long-term benefits to having children, provided that our children go on and have children of their own.life satisfaction, grandparenthood, grandchildren, generalized ordered probit, understanding society, happiness

And You Think Having Children Will Make You Happy! A Case of Focusing Illusion

Using Kahneman and Schkade's (1998) idea of focusing illusion, this paper attempts to explain why having children does not always bring us the kind of happiness we anticipated to have before our decision to having them.

Unhappiness and Crime : Evidence from South Africa

This paper is the first of its kind to study quality of life responses of crime victims. Using cross-sectional data from the OHS97 survey of South Africa, we show that victims report significantly lower well-being than the non-victims, ceteris paribus. The calculated ‘compensating variation’ suggests that it would take, on average, an extra $10,000 per month to offset the psychological costs of crime. Happiness is lower for nonvictimized respondents currently living in higher crime areas. However, we find a strong evidence for females that criminal victimization hurts, but hurts less if the crime rate on our reference group is high.Happiness ; Quality of Life ; Crime ; Stigma ; South Africa

Does Education Reduce the Risk of Hypertension? Estimating the Biomarker Effect of Compulsory Schooling in England

This paper estimates the exogenous effect of schooling on reduced incidence of hypertension. Using the changes in the minimum school-leaving age law in the United Kingdom from age 14 to 15 in 1947, and from age 15 to 16 in 1973, as sources of exogenous variation in schooling, the regression discontinuity and IV-probit estimates imply that completing an extra year of schooling reduces the probability of developing subsequent hypertension by approximately 7-12% points; the result which holds only for men and not for women. The correct IV-probit estimates of the LATE for schooling indicate the presence of a large and negative bias in the probit estimates of schooling-hypertension relationship for the male subsample.hypertension, compulsory schooling, biomarker, regression discontinuity, health

Does Education Reduce Blood Pressure? Estimating the Biomarker Effect of Compulsory Schooling in England

This paper is the first of its kind to estimate the exogenous effect of schooling on reduced blood pressure and the incidence of hypertension. Using the changes of the minimum school-leaving age in the United Kingdom from age 14 to 15 in 1947, and from age 15 to 16 in 1973, as instruments, the IV-probit estimates imply that completing an extra year of schooling reduces the probability of developing subsequent hypertension by approximately 5%-11% points. The correct estimates of the LATE for schooling indicate the presence of a large and negative bias in the least square/probit estimates of schooling-health relationship.blood pressure; compulsory schooling; biomarker; IV; hypertension; health

Unhappiness and Crime: Evidence from South Africa

This paper is the first of its kind to study quality of life responses of crime victims. Using cross-sectional data from the OHS97 survey of South Africa, we show that victims report significantly lower well-being than the non-victims, ceteris paribus. Happiness is lower for nonvictimized respondents currently living in higher crime areas. However, we find a strong evidence for females that criminal victimization hurts, but hurts less if the crime rate on our reference group is high.Happiness, Quality of Life, Crime, Stigma, South Africa

IS THE STRUCTURE OF HAPPINESS EQUATIONS THE SAME IN POOR AND RICH COUNTRIES? THE CASE OF SOUTH AFRICA

Are happiness patterns structurally the same when comparing poor and rich countries? Using cross-sectional data from the SALDRU93 survey, we show that the relationships between subjective well-being and socioeconomic variables have a similar structure and is U-shaped in age in South Africa as in developed countries. Well-being rises with income. Unemployment is detrimental to reported well-being, both at the individual- and household-level. Living standard indicators such as durable assets ownership seem to determine happiness levels as well as income. Relative income also matters to well-being, after controlling for community wealth.Happiness ; Living Standard ; South Africa ; Poverty

Testing for Utility Interdependence in Marriage: Evidence from Panel Data

This paper is the first of its kind to study utility interdependence in marriage using information on subjective well-being of a large sample of people living in the UK over the period 1991-2001. Using “residual” self-rated health to provide instrument for spouse’s well-being and allowing controls on individual fixed effects, we find strong evidence of altruism represented by interdependent relationships in the reported well-being found only among spouses, and not by partners in cohabiting union. Panel data also show that the well-being impact resulting from “caring” can be used to predict future income, unemployment, and marital status for the individuals.happiness, altruism, marriage, interdependent utility

Are there Regional Variations in the Psychological Cost of Unemployment in South Africa?

Are certain groups of unemployed individuals hurt less by unemployment than others? This paper is an attempt to test the hypothesis that non- pecuniary costs of unemployment may vary between societies with different unemployment rates. Using cross-sectional data from the SALDRU93 survey, we show that individuals’ reported well-being levels are inversely related to unemployment for South African adults as to be expected in richer countries. Reported well-being levels are shown to be associated negatively with regional unemployment rates for the employed. However, unemployment appears to hurt less for the individual if unemployment rates in the society are high.Happiness, Quality of Life, Unemployment, Social Norm, South Africa