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SSE/EFI Working Paper Series in Economics and Finance No 697 Competition and well-being

Title: SSE/EFI Working Paper Series in Economics and Finance No 697 Competition and well-being
Authors: Justina Av Fischer; Jel-codes I
Contributors: The Pennsylvania State University CiteSeerX Archives
Source: http://swopec.hhs.se/hastef/papers/hastef0697.pdf.
Publication Year: 2008
Collection: CiteSeerX
Subject Terms: Subjective well-being; happiness; utility; competition; rule of law; completeness of contract; laboratory experiment; World Values Survey
Description: Empirical research on the role of economic institutions for subjective well-being is still widely lacking, while recent economic-experimental outcomes suggest that experienced utility may depend on the intensity of market competition. This paper is the first to empirically analyze the implication of market competition for subjective well-being using real-life survey data on 80,000 individuals in more than 60 countries from the World Values Survey 1997-2001. In support of our hypothesis, we find that market competition aggravates the impact of individual’s bargaining position in economic transactions on her subjective well-being – compared to the least powerful in society. Put differently, we find that market competition enlarges the happiness differences caused by cleavages in socio-economic position. Our results also suggest that competition-induced welfare changes are not gender-specific, while a stronger rule of law appears to prevent the generation of such additional benefits or losses. Particularly the latter results call for further economic-experimental corroboration in the laboratory, but also bear important policy implications. Keywords
Document Type: text
File Description: application/pdf
Language: English
Relation: http://citeseerx.ist.psu.edu/viewdoc/summary?doi=10.1.1.597.163; http://swopec.hhs.se/hastef/papers/hastef0697.pdf
Availability: http://citeseerx.ist.psu.edu/viewdoc/summary?doi=10.1.1.597.163; http://swopec.hhs.se/hastef/papers/hastef0697.pdf
Rights: Metadata may be used without restrictions as long as the oai identifier remains attached to it.
Accession Number: edsbas.481FE4CB
Database: BASE