Genes, Economics, and Happiness

Research on happiness has produced valuable insights into the sources of subjective well-being that are of importance to economics. A major nding from this literature is that people exhibit a "baseline" level of happiness that shows persistent strength over time. Here we explore the extent to which baseline happiness is in uenced by genetic variation. Using data from Add Health, we employ a twin study design to show that ge- netic variation explains about 33% of the variation in happiness, and that the in uence of genes varies by gender (women 26%, men 39%) and tends to rise with age. We also present evidence that variation in a specific gene predicts happiness. Individuals with a transcriptionally more eficient version of the serotonin transporter gene (SLC6A4) are significantly more likely to report higher levels of life satisfaction