The Impact of COVID-19 on Subjective Well-Being: Evidence from Singapore

32 Pages Posted: 21 Sep 2020

See all articles by Terence Chai Cheng

Terence Chai Cheng

University of Melbourne - Melbourne Institute of Applied Economics and Social Research

Seonghoon Kim

Singapore Management University

Kanghyock Koh

Brown University

Abstract

We provide novel evidence on how the COVID-19 global health and economic crisis is affecting overall life satisfaction and domain-specific satisfaction using data from a monthly longitudinal survey of middle-aged and older Singaporeans. Using a difference-in-differences framework, we document large declines in overall life satisfaction and domain-specific satisfaction during the COVID-19 outbreak, except satisfaction with health. These declines coincide with the introduction of a nationwide lockdown, with life satisfaction remaining below its pre-pandemic levels even after the lockdown is lifted. We also find that individuals who report a drop in household income during the COVID-19 outbreak experience a decline in overall life satisfaction almost twice as large as those who do not report any income loss.

Keywords: COVID-19, pandemic, life satisfaction, subjective well-being, individual-level monthly panel data, difference-in-differences

JEL Classification: E2, I12, I31

Suggested Citation

Cheng, Terence Chai and Kim, Seonghoon and Koh, Kanghyock, The Impact of COVID-19 on Subjective Well-Being: Evidence from Singapore. IZA Discussion Paper No. 13702, Available at SSRN: https://ssrn.com/abstract=3695403 or http://dx.doi.org/10.2139/ssrn.3695403

Terence Chai Cheng (Contact Author)

University of Melbourne - Melbourne Institute of Applied Economics and Social Research ( email )

185 Pelham Street
Carlton, Victoria 3053
Australia

Seonghoon Kim

Singapore Management University ( email )

90 Stamford Road
178903
Singapore
68085465 (Phone)
178903 (Fax)

HOME PAGE: http://https://sites.google.com/site/econseonghoon/

Kanghyock Koh

Brown University

No Address Available

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