Identifying Welfare Effects from Subjective Questions

Ravallion, Martin ; Lokshin, Michael

World Bank, Washington, DC

关键词: AVERAGE GROWTH;    AVERAGE INCOME;    CAUSAL EFFECT;    DATA MODEL;    DATA SET;   

DOI  :  10.1596/1813-9450-2301
RP-ID  :  WPS2301

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

The authors argue that the welfareinferences drawn from subjective answers to questions onqualitative surveys are clouded by concerns about thestructure of measurement errors and how latent psychologicalfactors influence observed respondent characteristics. Theypropose a panel data model to high-quality panel data forRussia for 1994-96, they find that some results widelyreported in past studies of subjective well-being appear tobe robust but others do not. Household income, for example,is a highly significant predictor of self-rated economicwelfare; per capita income is a weaker predictor. Ill healthand loss of a job reduce self-reported economic welfare; percapita income is a weaker predictor. Ill health and loss ofa job reduce self-reported economic welfare, but demographiceffects are weak at a given current income. And the effectsof unemployment is not robust. Returning to work does notrestore a sense of welfare unless there is an income gain.The results imply that even transient unemployment bringsthe feeling of a permanent welfare loss, suggesting thathigh unemployment benefits do not attract people out of workbut do discourage a return to work.