Life satisfaction along the urban-rural continuum: a global assessment

Filippo Tassinari, Lukas Kleine-Rueschkamp and And Paolo Veneri

Applied Economics, 2025, vol. 57, issue 3, 284-300

Abstract: This paper assesses differences in life satisfaction along the urban-rural continuum in 111 countries across the globe. It combines survey data with a consistent definition of settlements to maximize international comparability. Once controlled for observed individual characteristics, differences in life satisfaction between people living in cities and in rural areas change with development levels. We found a positive difference at low development levels, which disappears or reverts for high-income countries. Among the factors associated with such differences are city-rural gaps in reported health problems, in physical infrastructure (built-up area), in expectations for future economic conditions, as well as in perceived housing affordability. We also show that life satisfaction varies by city size. Globally, large cities between one and five million inhabitants drive the observed city-premium, with stark heterogeneity across income levels. More specifically, residents in large metropolises over five million inhabitants report the highest and lowest life satisfaction in low- and high- income countries, respectively.

Date: 2025
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DOI: 10.1080/00036846.2024.2303617

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