Panel Quantile Regressions and the Subjective Well-Being in Urban China: Evidence from RUMiC Data

Zheng Fang

Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, 2017, vol. 132, issue 1, No 2, 24 pages

Abstract: Abstract Using RUMiC data and a simple panel quantile regression method, this paper accounts for the time-invariant individual specific characteristics and investigates the heterogeneous effects of factors on the distribution of subjective well-being (SWB, measured by GHQ-12) in urban China. Comparing results from the pooled regression and fixed effect regression, we find that most results from pooled regressions are likely overestimated. Panel quantile regression results show that income affects the least happy 10 % group twice as much as the happiest 10 % people. Being unemployed brings down the happiness level by 0.97 points on average, but individuals with high SWB seem to be not significantly affected. The complete picture of the relationship between SWB and various factors would have been veiled without using quantile techniques. This paper therefore not only contributes to the happiness literature in China, but also adds evidence to stylized findings going beyond the average.

Keywords: Subjective well-being; GHQ-12; Panel quantile regression; Heterogeneity; RUMiC; China (search for similar items in EconPapers)
JEL-codes: I31 J01 (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (12)

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DOI: 10.1007/s11205-015-1126-z

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