Standard regression techniques are only able to give an incomplete picture of the relationship between subjective well-being and its determinants since the very idea of conventional estimators such as OLS is the averaging out over the whole distribution: studies based on such regression...

We use a panel vector autoregressions model to examine the coevolution of changes in mental well-being and changes in income, health, marital status and employment status for the British Household Panel Survey (BHPS) data set. This technique allows us to simultaneously analyze the impact of the...

There is an ambiguity in Amartya Sen's capability approach as to what constitutes an individual's resources, conversion factors and valuable functionings. What we here call the "circularity problem" points to the fact that all three concepts seem to be mutually endogenous and interrelated. All...

Despite lower incomes, the self-employed consistently report higher satisfaction with their jobs. But are self-employed individuals also happier, more satisfied with their lives as a whole? High job satisfaction might cause them to neglect other important domains of life, such that the...

It is well-known in the literature that self-employment positively influences job satisfaction, but the effects on other life domains and overall life satisfaction are much less clear. Our study analyzes the welfare effects of self-employment apart from its monetary aspects, and focuses on the...