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Elusive Effects of Unemployment on Happiness

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  • Petri Böckerman

    (Palkansaajien tutkimuslaitos)

  • Pekka Ilmakunnas

Abstract

This paper explores the connection between unemployment and subjective well-being in Finland by using cross-sections for the years 1990, 1996 and 2000 from World Values Surveys. An unprecedented increase in the national unemployment rate (from 3 to 17 per cent) did not produce a drop in the mean level of subjective well-being. Experiencing unemployment personally reduces life satisfaction, but does not have a significant effect on happiness in unemployed has a negative effect on happiness at lower happiness scores, but no significant effect at high happiness levels

Suggested Citation

  • Petri Böckerman & Pekka Ilmakunnas, 2005. "Elusive Effects of Unemployment on Happiness," Working Papers 210, Työn ja talouden tutkimus LABORE, The Labour Institute for Economic Research LABORE.
    • Handle: RePEc:pst:wpaper:210
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    Cited by:

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    8. Mansi Jain & Gagan Deep Sharma & Mandeep Mahendru, 2019. "Can I Sustain My Happiness? A Review, Critique and Research Agenda for Economics of Happiness," Sustainability, MDPI, vol. 11(22), pages 1-36, November.
    9. Antje Mertens & Miriam Beblo, 2016. "Self-Reported Satisfaction and the Economic Crisis of 2007–2010: Or How People in the UK and Germany Perceive a Severe Cyclical Downturn," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 125(2), pages 537-565, January.
    10. Krause, Annabelle, 2013. "Don’t worry, be happy? Happiness and reemployment," Journal of Economic Behavior & Organization, Elsevier, vol. 96(C), pages 1-20.
    11. Petri Böckerman & Pekka Ilmakunnas, 2006. "Elusive Effects of Unemployment on Happiness," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 79(1), pages 159-169, October.
    12. Zeynep B. UGUR, 2023. "Do People Adapt to Unemployment? Findings from Türkiye," Istanbul Journal of Economics-Istanbul Iktisat Dergisi, Istanbul University, Faculty of Economics, vol. 73(73-2), pages 781-810, December.
    13. Z. Bilgen Susanlı, 2018. "Life satisfaction and unemployment in Turkey: evidence from Life Satisfaction Surveys 2004–2013," Quality & Quantity: International Journal of Methodology, Springer, vol. 52(1), pages 479-499, January.
    14. Knut Halvorsen, 2016. "Economic, Financial, and Political Crisis and Well-Being in the PIGS-Countries," SAGE Open, , vol. 6(4), pages 21582440166, December.
    15. Senakpon F. A. Dedehouanou & Johan Swinnen & Miet Maertens, 2013. "Does Contracting Make Farmers Happy? Evidence from Senegal," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 59, pages 138-160, October.
    16. Ballester, Ramon & Recio, Albert & Garriga, Anna, 2015. "Programas de garantía de rentas e inserción laboral: El itinerario de inserción laboral de Cáritas Girona/Minimum Income Schemes and Labour Insertion: The Occupational Itinerary of Caritas Girona," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 33, pages 1011-1036, Septiembr.
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    More about this item

    Keywords

    happiness; unhappiness; life satisfaction; unemployment;
    All these keywords.

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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