Economics at your fingertips  

Income Comparison and Subjective Well-Being: Evidence from Self-Perceived Relative Income Data from China

Han Yu ()
Additional contact information
Han Yu: Texas A&M University

Eastern Economic Journal, 2020, vol. 46, issue 4, No 5, 636-672

Abstract: Abstract This paper studies the impact of self-perceived relative income on subjective well-being (SWB) using data from China. The results show that perceiving a lower relative income in comparison with different reference groups leads to lower life satisfaction and happiness. The effect of the self-perceived relative income on SWB is monotonic—the lower the position of an individual in income comparisons, the larger the negative effect. In addition, favorable and unfavorable relative income positions have asymmetric impacts on life satisfaction, but not on happiness. The results hold when controlling for individual fixed effects by utilizing the panel structure of the data.

Keywords: Self-perceived relative income; Subjective well-being; China (search for similar items in EconPapers)
JEL-codes: D31 D63 I31 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from

DOI: 10.1057/s41302-020-00168-2

Access Statistics for this article

Eastern Economic Journal is currently edited by Allan Zebedee and Cynthia Bansak

More articles in Eastern Economic Journal from Palgrave Macmillan, Eastern Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

Page updated 2021-04-23
Handle: RePEc:pal:easeco:v:46:y:2020:i:4:d:10.1057_s41302-020-00168-2