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![Page 1: Measures of GROSS NATIONAL HAPPINESS Ruut Veenhoven Erasmus University Rotterdam Presentation at OECD World Forum on Statistics, Knowledge and Policy Istanbul,](https://reader036.fdocuments.in/reader036/viewer/2022081512/5514af2b55034640138b4fe8/html5/thumbnails/1.jpg)
Measures ofGROSS NATIONAL HAPPINESS
Ruut VeenhovenErasmus University Rotterdam
Presentation at OECD World Forum on
Statistics, Knowledge and PolicyIstanbul, Turkey June 27-30
Roundtable on Measuring Happiness and Making Policy
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Measures of GNH1. The ‘greatest happiness principle’
2. What is ‘happiness’?
3. Can happiness be measured?
4. Measures of happiness in nations• Average Happiness • Happy Life Years• Inequality of Happiness• Inequality Adjusted Happiness• % unhappy
5. Relevance for policy
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Greatest Happiness Principle
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Greatest happiness principle
Philosophy
• Morally good is what works out wellMorality appears in consequences
• Most moral is what produces ‘greatest happiness for greatest number’
• This philosophy is called ‘utilitarianism’Applied on public choice: ‘rule utilitarianism’
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Greatest happiness principle
Variants of rule-utilitarianism
• Focus on average happinessStandard utilitarianism
• Focus on difference in happinessEgalitarian utilitarianism
• Focus on the least happyNegative utilitarianism
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What is ‘happiness’?
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What is ‘happiness’?
Four qualities of life
external
internal
chances
outcomes
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What is ‘happiness’?
Four qualities of life
external
internal
chances
Livability
Life-ability
outcomes
Utility
Satisfaction
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What is ‘happiness’?Four kinds of satisfaction
Passing
Enduring
Part
Whole
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What is ‘happiness’?Four kinds of satisfaction
Passing
Enduring
Part
Pleasure
Domain
satisfaction
Whole
Top experience
Happiness
(life-satisfaction)
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Can happiness be measured?
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Measurement of happiness
Example of a survey question
Taking all together, how satisfied or dissatisfied are you with your life as a whole these days?
1 2 3 4 5 6 7 8 9 10
Dissatisfied Satisfied
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Happiness in Switzerland 2000
DISSATISFIED
2 3 4 5 6 7 8 9 SATISFIED
HOW SATISFIED ARE YOU WITH YOUR LIFE
0,0%
5,0%
10,0%
15,0%
20,0%
25,0%
30,0%
Pe
rce
nt
COUNTRY/REGION: SWITZERLAND
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Happiness in Zimbabwe 2000
DISSATISFIED
2 3 4 5 6 7 8 9 SATISFIED
HOW SATISFIED ARE YOU WITH YOUR LIFE
0,0%
10,0%
20,0%
30,0%
Perce
nt
COUNTRY/REGION: ZIMBABWE
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Measures of happiness in nations
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Measures of happiness in nations
• Average Happiness
• Happy Life Years
• Inequality of Happiness
• Inequality Adjusted Happiness
• % Unhappy
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Measures of happiness in nations
Link with variants of utilitarianism
Standard utilitarianism• Average Happiness• Happy Life Years
Egalitarian utilitarianism• Inequality of Happiness• Inequality Adjusted Happiness
Negative utilitarianism• % unhappy
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Measures of happiness in nations
Average Happiness
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Average 0-10 happiness in 2000
• Switzerland 8,1
• USA 7,4
• UK 7,1
• Italy 6,9
• France 6,5
• Japan 6,2
• Russia 4,4
• Zimbabwe 3.3
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Average 0-10 happiness in 2000Change since 1973
• Switzerland ? 8,1
• USA + 0,34 7,4
• UK + 0,06 7,1
• Italy + 0,96 6,9
• France + 0,28 6,5
• Japan + 0,00 6,2
• Russia ? 4,4
• Zimbabwe ? 3.3
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Measures of happiness in nations
Happy Life Years
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Measures of happiness in nations
Happy Life Years
Meaning:How long and happy people live in a country
Computation:Life-expectancy x 0-1 happiness
Example Switzerland:- Life-expectancy = 79 years- Average 0-10 happiness = 8,1- HLY = 79 x 0,81 = 64
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Happy Life Years in 2000
• Switzerland 63,9
• USA 57,0
• UK 55,2
• Italy 54,2
• France 51,4
• Japan 50,4
• Russia 29,2
• Zimbabwe 11,5
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Happy Life Years in 2000Change since 1973• Switzerland ? 63,9
• USA + 5,2 57,0
• UK + 4,1 55,2
• Italy + 11,5 54,2
• France + 6,0 51,4
• Japan + 4,4 50,4
• Russia ? 29,2
• Zimbabwe ? 11,5
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Measures of happiness in nations
Inequality of Happiness
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SD 0-10 happiness in 2000
• Switzerland 1,7
• USA 2,1
• UK 2,1
• Italy 2,1
• France 2,2
• Japan 2,1
• Russia 2,6
• Zimbabwe 3.0
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SD 0-10 happiness in 2000Change since 1973
• Switzerland ? 1,7
• USA - 0,03 2,1
• UK - 0,16 2,1
• Italy - 0,37 2,1
• France - 0,09 2,2
• Japan + 0,09 2,1
• Russia ? 2,6
• Zimbabwe ? 3.0
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Measures of happiness in nations
Inequality Adjusted Happiness
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0-100 IAH in nations in 2000
• Switzerland 75
• USA 67
• UK 64
• Italy 62
• France 58
• Japan 55
• Russia 36
• Zimbabwe 23
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0-100 IAH in nations in 2000Change since 1973
• Switzerland ? 75
• USA + 5,2 67
• UK + 4,1 64
• Italy + 10,5 62
• France + 6,0 58
• Japan - 4,4 55
• Russia ? 36
• Zimbabwe ? 23
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Measures of happiness in nations
% Unhappy
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% unhappy in 2000 (below 5 on 1-10)
• Switzerland 4,1
• USA 5,9
• UK 7,9
• Italy 9,6
• France 11,2
• Japan 14,5
• Russia 45,5
• Zimbabwe 56,7
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Happiness and kind of society
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Societal correlates of happiness in 95 nations
Average happiness
• Economic affluence +.61• Political freedom +.54• Rule of law +.58• State welfare +.22• Income equality +.18• Tolerance +.68
R2 .73
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Societal correlates of happiness in 95 nations
Explained variance
• Average happiness 73%
• Happy Life Years 81%
• Inequality of happiness 51%
• Inequality-Adjusted happiness 74%
• % Unhappy 77%
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Societal correlates of happiness in 95 nations
Similarity in correlations
• Difference in correlation with income-inequality– No correlation with Average happiness– Some correlation with SD-happiness
• All other correlations similar
Same policies fit all variants of utilitarianism
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World Database of Happiness
http://worlddatabaseofhappiness.eur.nl