Unhappy Cities

65 Pages Posted: 24 Jul 2014  

Edward L. Glaeser

Harvard University - Department of Economics; Brookings Institution; National Bureau of Economic Research (NBER)

Joshua D. Gottlieb

University of British Columbia (UBC) - Vancouver School of Economics; National Bureau of Economic Research (NBER)

Oren Ziv

Michigan State University; Dartmouth College

Date Written: July 2014

Abstract

There are persistent differences in self-reported subjective well-being across U.S. metropolitan areas, and residents of declining cities appear less happy than other Americans. Newer residents of these cities appear to be as unhappy as longer term residents, and yet some people continue to move to these areas. While the historical data on happiness are limited, the available facts suggest that cities that are now declining were also unhappy in their more prosperous past. One interpretation of these facts is that individuals do not aim to maximize self-reported well-being, or happiness, as measured in surveys, and they willingly endure less happiness in exchange for higher incomes or lower housing costs. In this view, subjective well-being is better viewed as one of many arguments of the utility function, rather than the utility function itself, and individuals make trade-offs among competing objectives, including but not limited to happiness.

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Suggested Citation

Glaeser, Edward L. and Gottlieb, Joshua D. and Ziv, Oren, Unhappy Cities (July 2014). NBER Working Paper No. w20291. Available at SSRN: https://ssrn.com/abstract=2471184

Edward L. Glaeser (Contact Author)

Harvard University - Department of Economics ( email )

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Brookings Institution

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Joshua D. Gottlieb

University of British Columbia (UBC) - Vancouver School of Economics ( email )

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HOME PAGE: http://economics.ubc.ca/gottlieb

National Bureau of Economic Research (NBER)

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HOME PAGE: http://papers.nber.org/authors/joshua_gottlieb

Oren Ziv

Michigan State University ( email )

Agriculture Hall
East Lansing, MI 48824-1122
United States

Dartmouth College ( email )

Hanover, NH 03755
United States

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