Human Development Index as a Predictor of Life Satisfaction
Article Sidebar
Main Article Content
Abstract
Since 1990, the Human Development Index (HDI) has been used by the United Nations to rank countries into four tiers of human development. Using data from the 2010 Human Development Report, this study has analyzed the mean life satisfaction of citizens from 144 countries that are at different levels of HDI. Simple regression analysis shows that HDI alone accounts for 63% of the variation in the mean life satisfaction across the countries. A strong positive correlation has been shown to exist between life satisfaction and HDI. However, countries with about the same level of HDI can have vastly different life satisfaction. Results from the Multiple Regression Analysis indicate that part of the variations in life satisfaction in countries with similar HDI is attributed to the personal dimensions of well-being—that being the percentage of the population that is satisfied with jobs, health, and standard of living, and to a lesser extent elements of happiness such as having a purposeful life and social support, and being treated with respect. In conclusion, while HDI is an important predictor of life satisfaction, there are many other socio-political and cultural factors as well, such as an individuals'traits and outlook in life throughout the world, also influence life satisfaction, to various degrees.
Article Details
References
• Adams, R. E., & Serpe, R. T. (2000). Social integration, fear of crime, and life satisfaction. Sociological Perspectives, 43(4), 605-629.
• Alesina, A., Di Tella, R., & MacCulloch, R. (2004). Inequality and happiness are Europeans and Americans different? Journal of Public Economics, 88(9), 2009-2042.
• Anand, S., & Sen, A. (2000). The income component of the human development index. Journal of human development, 1(1), 83-106.
• Bilbao-Ubillos, J. (2013). Another approach to measuring human development: The composite dynamic human development index. Social Indicators Research, 111(2), 473-484.
• Bjørnskov, C., Dreher, A., & Fischer, J. A. (2008). Cross-country determinants of life satisfaction: Exploring different determinants across groups in society. Social Choice and Welfare, 30(1), 119-173.
• Blanchflower, D. G., & Oswald, A. J. (2005). Happiness and the Human development index: the paradox of Australia. Australian Economic Review, 38(3), 307-318.
• Böhnke, P. (2008). Does society matter? Life satisfaction in enlarged Europe. Social Indicators Research, 87(2), 189-210.
• Bonini, A. (2008). Cross-national variation in individual life satisfaction: Effects of national wealth, human development, and environmental conditions. Social Indicators Research, 87(2), 223-236.
• Brülde, B. (2007). Happiness and the good life. Introduction and conceptual framework. Journal of Happiness Studies, 8(1), 1-14.
• Cantril, H. (1965). The patterns of human concerns. New Brunswick, Nj. Rutgers University Press.
• Chou, K. L., & Chi, I. (1999). Determinants of life satisfaction in Hong Kong Chinese elderly: A longitudinal study. Aging & Mental Health, 3(4), 328-335.
• Clark, A. E., Frijters, P., & Shields, M. A. (2008). Relative income, happiness, and utility: An explanation for the Easterlin paradox and other puzzles. Journal of Economic literature, 46(1), 95-144.
• Costanza, R., Hart, M., Talberth, J., & Posner, S. (2009). Beyond GDP: The need for new measures of progress. Pardee Paper No. 4, Boston: Pardee Center for the Study of the Longer-Range Future.
• Cummins, R. A. (1998). The second approximation to an international standard for life satisfaction. Social Indicators Research, 43(3), 307-334.
• Deaton, A. (2008). Income, health, and well-being around the world: Evidence from the Gallup World Poll. Journal of Economic Perspectives, 22(2), 53-72.
• Demir, M., Özdemir, M., & Weitekamp, L. A. (2007). Looking to happy tomorrows with friends: Best and close friendships as they predict happiness. Journal of Happiness Studies, 8(2), 243-271.
• Demir, M., Şimşek, Ö. F., & Procsal, A. D. (2013). I am so happy ‘cause my best friend makes me feel unique: Friendship, personal sense of uniqueness and happiness. Journal of Happiness Studies, 14(4), 1201-1224.
• Diener, E., & Diener, M. (2009). Cross-cultural correlates of life satisfaction and self-esteem. In Culture and well-being (pp. 71-91). Springer Netherlands.
• Diener, E., Lucas, R. E., & Scollon, C. N. (2006). Beyond the hedonic treadmill: revising the adaptation theory of well-being. American Psychologist, 61(4), 305.
• Duncan, G. (2010). Should happiness-maximization be the goal of government? Journal of Happiness Studies, 11(2), 163-178.
• Easterlin, R. A. (1974). Does economic growth improve the human lot? Some empirical evidence. Nations and households in economic growth, 89, 89-125.
• Easterlin, R. A. (1995). Will raising the incomes of all increase the happiness of all? Journal of Economic Behavior & Organization, 27(1), 35-47.
• Forsyth, C. J., Roberts, S. B., & Robin, C. A. (1992). Variables influencing life satisfaction among grandparents. International Journal of Sociology of the Family, 51-60
• Frey, B. S. (2008). Happiness: A revolution in economics. MIT Press Books, 1.
• Frey, B. S., & Stutzer, A. (2002). The economics of happiness. World Economics, 3(1), 1-17.
• Gamboa, L. F., García-Suaza, A., & Rodríguez-Acosta, M. (2011). Job satisfaction in a developing country: Exploring the work-family rivalry (No. 008171).
• Graham, C. (2005). Insights on development from the economics of happiness. The World Bank Research Observer, 20(2), 201-231.
• Graham, C. (2010a). The challenges of incorporating empowerment into the HDI: Some lessons from happiness economics and quality of life research. UNDP-HDRO Occasional Papers(2010/13).
• Graham, C. (2010b). Happy peasants and miserable millionaires. Happiness Research, Economics, and Public Policy. Vox, January, 30.
• Griffin, J. (2007). What do happiness studies study? Journal of Happiness Studies, 8(1), 139-148.
• Hagerty, M. R., & Veenhoven, R. (2003). Wealth and happiness revisited–growing national income does go with greater happiness. Social Indicators Research, 64(1), 1-27.
• Haller, M., & Hadler, M. (2006). How social relations and structures can produce happiness and unhappiness: An international comparative analysis. Social Indicators Research, 75(2), 169-216.
• Helliwell, J. F., Barrington-Leigh, C. P., Harris, A., & Huang, H. (2009). International evidence on the social context of well-being (No. w14720). National Bureau of Economic Research.
• Helliwell, J., Layard, R., & Sachs, J. (2011). World Happiness Report, The Earth Institute, Columbia University.
• Hicks, D. A. (1997). The inequality-adjusted human development index: A constructive proposal. World Development, 25(8), 1283-1298.
• Ho, M. Y., Cheung, F. M., & Cheung, S. F. (2008). Personality and life events as predictors of adolescents’ life satisfaction: Do life events mediate the link between personality and life satisfaction? Social Indicators Research, 89(3), 457-471.
• Jagodzinski, W. (2010). Economic, social, and cultural determinants of life satisfaction: Are there differences between Asia and Europe? Social Indicators Research, 97(1), 85-104.
• Kusago, T. (2007). Rethinking of economic growth and life satisfaction in post-war Japan – A fresh approach. Social Indicators Research, 81(1), 79-102.
• Lanzi, D., & Delbono, F. (2008). Human development in the EU. Rivista Internazionale di Scienze Sociali, 321-331.
• Leigh, A., & Wolfers, J. (2006). Happiness and the human development index: Australia is not a paradox. Australian Economic Review, 39(2), 176-184.
• Li, L., Young, D., Wei, H., Zhang, Y., Zheng, Y., Xiao, S., & Chen, X. (1998). The relationship between objective life status and subjective life satisfaction with the quality of life. Behavioral Medicine, 23(4), 149-159.
• McFarlin, D. B. (2008). Life satisfaction around the globe: What role does income play? The Academy of Management Perspectives, 22(4), 79-80.
• Mikucka, M., Sarracino, F., & Dubrow, J. K. (2017). When does economic growth improve life satisfaction? Multilevel analysis of the roles of social trust and income inequality in 46 countries, 1981–2012. World Development, 93, 447-459.
• Narayana, M. (2009). Education, human development and quality of life: Measurement issues and implications for India. Social Indicators Research, 90(2), 279-293.
• Ng, S. T., Tey, N. P., & Asadullah, M. N. (2017). What matters for life satisfaction among the oldest-old? Evidence from China. PloS one, 12(2), e0171799.
• Nitschke, J. (2008). Happiness vs. HDI: The correlation between life expectancy, literacy, GDP, and happiness. Humboldt-Universitat Zu Berlin.
• Nussbaum, M. C. (1992). Human functioning and social justice in defense of Aristotelian essentialism. Political Theory, 20(2), 202-246.
• Organisation for Economic Co-operation and Development (OECD). (2013). OECD guidelines on measuring subjective well-being. Retrieved from http://www.oecd.org/statistics/Pages%20from%20Guidelines%20on%20Measuring%20Subjective%20Well-being-Annexe-A.pdf
• Organisation for Economic Co-operation and Development (OECD). (n.d). Better Life Index, Retrieved from http://www.oecdbetterlifeindex.org/topics/life-satisfaction.
• Ogwang, T., & Abdou, A. (2003). The choice of principal variables for computing some measures of human well-being. Social Indicators Research, 64(1), 139-152.
• Oswald, A. J. (1997). Happiness and economic performance. The economic journal, 107(445), 1815-1831.
• Pavot, W., & Diener, E. (1993). Review of the satisfaction with life scale. Psychological assessment, 5(2), 164.
• Piazza, J. R., Charles, S. T., & Almeida, D. M. (2007). Living with chronic health conditions: Age differences in affective well-being. The Journals of Gerontology Series B: Psychological Sciences and Social Sciences, 62(6), P313-P321.
• Peterson, C., Park, N., & Seligman, M. E. (2005). Orientations to happiness and life satisfaction: The full life versus the empty life. Journal of Happiness Studies, 6(1), 25-41.
• Proto, E., & Rustichini, A. (2013). A reassessment of the relationship between GDP and life satisfaction. PloS one, 8(11), e79358.
• Sagar, A. D., and Najam, A. (1998). The human development index: a critical review. Ecological Economics, 25(3), 249-264.
• Seligman, M. E. (2002). Authentic happiness: Using the new positive psychology to realize your potential for lasting fulfillment, Simon, and Schuster.
• Seligman, M. E., & Royzman, E. (2003). Happiness: The three traditional theories. Authentic Happiness Newsletter, (July).
• Sen, A. (1999). Commodities and capabilities. OUP Catalogue.
• Stevenson, B., & Wolfers, J. (2008). Economic growth and subjective well-being: Reassessing the Easterlin paradox (No. w14282). National Bureau of Economic Research.
• Takeuchi, L. R., Hine, S., & Chavez, C. (2015). Asking people what they think: Using perceptions data to monitor the post-2015 agenda. Retrieved from http://www.odi.org/sites/odi.org.uk/files/odi-assets/publications-opinion-files/9401.pdf.
• Tian, Feng. (2013). Life satisfaction in Eastern Asian countries. Retrieved from http://ricas.ioc.u-tokyo.ac.jp/aasplatform/achivements/pdf/2013_ab_13.pdf
• United Nations Development Programme (UNDP). (2000). Human Development Report 2000 - Human Rights and Human Development. Retrieved from http://hdr.undp.org/en/content/human-development-report-2000
• United Nations Development Programme (UNDP). (2010). Human Development Report 2010 – The real wealth of nations: Pathways to human development. Retrieved from http://hdr.undp.org/en/content/human-development-report-2010
• Veenhoven, R. (2007). Subjective measures of well-being. Human Well-Being (pp. 214-239). Palgrave Macmillan UK.
• Wikman, A., Wardle, J., & Steptoe, A. (2011). Quality of life and affective well-being in middle-aged and older people with chronic medical illnesses: a cross-sectional population based study. PLoS One, 6(4), e18952.