Does Happiness Converge?
Journal of Happiness Studies, Volume 16, Issue 1, pp 67-76
Posted: 8 Apr 2014 Last revised: 3 Feb 2016
Date Written: 2015
Using the Phillips and Sul (Econometrica 75:1771-1855, 2007) club convergence and clustering procedure, we examine happiness convergence dynamics across Europe. Although we reject the hypothesis of full convergence, we find evidence of distinct happiness convergence clubs. Against the background of a weak link between income and happiness in the existing literature, we advocate that happiness convergence is a legitimate policy goal on its own right as well as a useful barometer of changes in the political landscape, societal values, and citizens’ sentiments about developments in the European Union.
Keywords: Panel convergence, Happiness, Life satisfaction, European Union
JEL Classification: E6, C23
Suggested Citation: Suggested Citation