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A Happiness Test of Human Capital Theory

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  • Piper, Alan T.

Abstract

This paper tests whether there are wider considerations for undertaking than just income enhancements and improved working conditions. Hence, the investigation here is to ascertain whether there is a happiness premium to education over and above any human capital benefits? A novel feature of the paper is the extended methodological discussion which results from the finding of omitted dynamics. This complicates the analysis, and means that standard FE methods are not wholly appropriate. The discussion details the options available, and offers advice for happiness research where there are omitted dynamics. The empirical results are broadly supportive of human capital theory, and suggest a substantial ‘structural break’ regarding gender.

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  • Piper, Alan T., 2012. "A Happiness Test of Human Capital Theory," MPRA Paper 43496, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:43496
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    References listed on IDEAS

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    Cited by:

    1. Alan Piper, 2015. "Heaven knows I'm miserable now: overeducation and reduced life satisfaction," Education Economics, Taylor & Francis Journals, vol. 23(6), pages 677-692, December.
    2. Piper, Alan, 2013. "A Note on Modelling Dynamics in Happiness Estimations," MPRA Paper 49364, University Library of Munich, Germany.
    3. Robin Henager & Sophia T. Anong & Joyce Serido & Soyeon Shim, 2021. "Does Financial Satisfaction Vary Depending on the Funding Strategy Used to Pay for College?," Journal of Family and Economic Issues, Springer, vol. 42(3), pages 429-448, September.

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    More about this item

    Keywords

    Education; Human Capital Theory; Life Satisfaction;
    All these keywords.

    JEL classification:

    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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