The Relationship of Wealth, Health, and Happiness: Global

Perspectives on Well-Being

Daniel T. Gruner Mihaly Csikszentmihalyi, PhD

Quality of Life Research Center Claremont Graduate University

ECPP 2014

w  It does, but only up to a point (Diener, 2000; Easterlin 2003; Myers, 2000)

w  Hedonic Adaptation (Diener, 2000; Diener, Lucas, & Scollon, 2006)

w  Relative Utility

(Diener & Lucas, 2000; Hagerty & Veenhoven, 2003)

w  Easterlin Paradox Debate

(Easterlin, 1974; Hagerty & Veenhoven, 2003)

Does  Money  Make  us  Happy?  

Does  Happiness  Impact  our  Health?  w  Happier people are less vulnerable to disease (Myers, 2000; Weisse, 1992)

w  Happiness associated with healthy immune systems (Weisse, 1992)

w  Positive affect associated with decreased pain and

higher life expectancy (Diener & Chan, 2011; Pressman & Cohen, 2005)

w  Emotion-health connection corroborated across the globe (Pressman, Gallagher, & Lopez, 2013)

Data Sources World Values Survey (Wave 4, collected in 1999-2004) -  Nationally representative samples of 87 countries around the world -  Simple random sampling based on geographical location -  Representation of urban and rural areas -  Publically available interview data

Gallup World Poll (Collected in 2005-2007) -  Nationally representative samples of 95% of countries around the world -  Random digit dial, area frame, cluster sampling, face-to-face -  Based on geographic location -  Representation of urban and rural areas -  Publically available data

World Bank (Estimates in 2000) -  Per Capita Purchasing Power Parity (PPP) and Nominal GDP

Measures

Happiness

-  World Values Survey -  1 Question -- “Taking all things together, would you say you are:”

(1) Very happy (2) Quite happy (3) Not very happy (4) Not at all happy

-  Happiness Index (0-200): -  (Very Happy + Quite Happy) – (Not Very Happy + Not at all Happy) + 100 -  Range = 91.1 – 192.8, M = 160.04, SD = 26.79 -  72 countries, approximately 1000 individuals sampled from each

Health

-  Gallup World Poll -  Health Index (0-100) -  Range = 56 – 84, M = 73.74, SD = 6.31 -  72 countries, approximately 1000 individuals sampled from each

(1) Are you satisfied or dissatisfied with your personal health?

(2) Do you have any health problems that prevent you from doing any of the things people your age normally can do?

(3) Did you feel well rested yesterday?

(4) Did you experience the following feelings during a lot of the day yesterday? Physical pain.

(5) Did you experience the following feelings during a lot of the day yesterday? Sadness.

(6) Did you experience the following feelings during a lot of the day yesterday? Worry.

Measures (Cont’d.)

Norway Switzerland

Denmark U.S

Japan

Netherlands Ireland

Germany

New Zealand

Italy

Israel

Puerto Rico

Russia

Hungary

Mexico

Romania Bulgaria

Indonesia

El Salvador

Philippines

Moldova

80

100

120

140

160

180

200

0 5 10 15 20 25 30 35 40

Ha

pp

ine

ss

GDP

Wealth and Happiness

Note: Sources: World Values Survey Wave 4 (1999-2004); World Bank (2000). Wealth measured in Nominal Per Capita Gross Domestic Product (GDP). Sample contains 71 countries (N = 71).

Norway

Switzerland Denmark

U.S

Japan Netherlands

Ireland

Israel

Saudi Arabia

Taiwan

Russia

Venezuela

Hungary

Mexico Colombia

Belarus

Ukraine

El Salvador

Moldova

55

60

65

70

75

80

85

90

0 5 10 15 20 25 30 35 40

He

alth

GDP

Wealth and Health

Note: Sources: Gallup World Poll (2005-2007); World Bank (2000). Wealth measured in Nominal Per Capita Gross Domestic Product (GDP). Sample contains 72 countries (N = 72).

Switzerland Denmark

United States

Japan Netherlands

Ireland

Slovenia

Hungary

Bulgaria

Belarus

Macedonia

Ukraine

Georgia

Moldova

50

55

60

65

70

75

80

85

90

50 70 90 110 130 150 170 190 210

He

alth

Happiness

Happiness and Health

Note: Sources: World Values Survey waves 1-4 (1981-2004); Gallup World Poll (2005-2007). Sample contains 71 countries (N = 71).

Does  happiness  mediate  the  rela8onship  between  wealth  and  health?  

Mediation Analysis

(1)       Hierarchical  Regression  (Baron  &  Kenny,  1986)  

(2)       PROCESS  (Hayes,  2012)    �  Based  on  10,000  bootstrapped  samples  

GDP  (PPP)  

Happiness  

Health  

.498***  .753***    

(.816***)    

.126    

(.501***)    

Purchasing  Power  Parity  (PPP)  per  capita  GDP,  Happiness,  Health    

*p<.05;    **p<.01;    ***p<.001  Figure  1.    Standardized  Effects  of  Log  Transformed  Purchasing  Power  Parity  Per  Capita  Gross  Domes8c  Product  (PPP  GDP)  and  Happiness  on  Health,  with  Total  Effects  Shown  in  Parentheses  (N  =  71).  

GDP  (PPP)  

Health  

Happiness  

.501***  .756***    

(.816***)    

.119    

(.498***)    

Purchasing  Power  Parity  (PPP)  per  capita  GDP,  Happiness,  Health    

*p<.05;    **p<.01;    ***p<.001  Figure  2.    Standardized  Effects  of  Log  Transformed  Purchasing  Power  Parity  Per  Capita  Gross  Domes8c  Product  (PPP  GDP)  and  Health  on  Happiness,  with  Total  Effects  Shown  in  Parentheses  (N  =  71).  

Conclusion

Well-being is a psychological function of the experience of happiness, which GDP and wealth alone cannot satisfy.

Implications

¤  New national indicators of success and flourishing

¤  Once basic needs are met, focus on increasing happiness

¤  Provide opportunities for engagement and flow

¤  Increase hope and optimism

Limitations and Future Directions

¤  Cross Sectional vs. Time Series

¤  Health items might overlap with happiness index

¤  Extend data collection to additional countries

¤  Individual-level data

¤  Health index as a proxy for objective health

Thank You

Daniel  T.  Gruner  PhD  Student,  Posi8ve  Developmental  Psychology  Claremont  Graduate  University  Quality  of  Life  Research  Center  Email:    dtgruner@gmail.com  

Selected  References  Baron,  R.  M.  &  Kenny,  D.  A.  (1986).  The  moderator-­‐mediator  dis8nc8on  in  social  psychological            research:  Conceptual,  strategic,  and  sta8s8cal  considera8ons.  Journal  of  Personality  and            Social  Psychology,  51,  1173-­‐1182.    Diener,  E.  (2000).  Subjec8ve  well-­‐being:  The  science  of  happiness  and  a  proposal  for  a  na8onal            index.  American  Psychologist,  55(1),  34-­‐43.  doi:10.1037/0003-­‐066X.55.1.34  

Diener,  E.,  Lucas,  R.  E.,  &  Scollon,  C.  (2006).  Beyond  the  hedonic  treadmill:  Revising  the            adapta8on  theory  of  well-­‐being.  American  Psychologist,  61(4),  305-­‐314.            doi:10.1037/0003-­‐066X.61.4.305  

Hagerty,  M.  R.,  &  Veenhoven,  R.  (2003).  Wealth  and  Happiness  Revisited-­‐-­‐Growing  Na8onal            Income  Does  Go  with  Greater  Happiness.  Social  Indicators  Research,  64(1),  1-­‐27.            doi:10.1023/A:1024790530822  

Hayes,  A.  (2012).  PROCESS:  A  VersaCle  ComputaConal  Tool  for  Observed  Variable  MediaCon,            ModeraCon,  and  CondiConal  Process  Modeling.  Unpublished  Manuscript.    Myers,  D.  G.  (2000).  The  funds,  friends,  and  faith  of  happy  people.  American  Psychologist,            55(1),  56-­‐67.  doi:10.1037/0003-­‐066X.55.1.56  

Pressman,  S.  D.,  &  Cohen,  S.  (2005).  Does  Posi8ve  Affect  Influence  Health?.  Psychological            BulleCn,  131(6),  925-­‐971.  doi:10.1037/0033-­‐2909.131.6.925    Pressman,  S.  D.,  Gallagher,  M.  W.,  &  Lopez,  S.  J.  (2013).  Is  the  emo8on-­‐health  connec8on  a            'first-­‐world  problem'?.  Psychological  Science,  24(4),  544-­‐549.    Weisse,  C.  S.  (1992).  Depression  and  immunocompetence:  A  review  of  the  literature.            Psychological  BulleCn,  111(3),  475-­‐489.  doi:10.1037/0033-­‐2909.111.3.475