HAPPINESS OVER SPACE AND TIME

David Maddison and Katrin Rehdanz

No FNU-128, Working Papers from Research unit Sustainability and Global Change, Hamburg University

Abstract: Hedonic theory assumes that changes in land prices and wage rates eliminate the utility advantages of differing locations. Using happiness data from the German socio-economic panel this paper empirically tests whether regional utility differences exist and if so whether utility levels show any tendency to converge over time. Empirical analysis reveals substantial differences in utility over different regions of Germany. Analysing a panel of data indicates that even if individual utility levels are at any one moment in disequilibrium they are rapidly converging over Germany for all types of individuals.

Keywords: amenity value; Happiness (search for similar items in EconPapers)
JEL-codes: R19 (search for similar items in EconPapers)
Pages: 19 pages
Date: 2007-02, Revised 2007-02
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:sgc:wpaper:128

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