Skip to main content
SpringerLink
Log in

Happiness in Transition

  • Chapter
Palgrave Dictionary of Emerging Markets and Transition Economics

Abstract

Based on economic and sociological research, this chapter examines (in)stability of behavioural patterns across developed countries and countries in transition. At first it introduces the notion of subjective well-being (SWB) and its components. Then it turns to the existing SWB gap between developed countries and countries in transition and defines the socio-demographic characteristics of the winners of transition. Further on, the focus moves to the role of economic environment and labour market conditions. Finally, we consider the role of societal and institutional characteristics, which are increasingly recognized as being more important than economic ones.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution

Subscribe and save

Springer+ Basic
$34.99 /Month
  • Get 10 units per month
  • Download Article/Chapter or eBook
  • 1 Unit = 1 Article or 1 Chapter
  • Cancel anytime
Subscribe now

Buy Now

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

Similar content being viewed by others

References

  • Abbott, P., C. Wallace, and R. Sapsford (2011). ‘Surviving the transformation: social quality in Central Asia and the Caucuses’. Journal of Happiness Studies, 12, 199–223.

    Article  Google Scholar 

  • Angelescu, L. (2008). ‘The effects of transition on life satisfaction in Poland’. Working Paper, G08 (Irvine, CA: Center for the Study of Democracy).

    Google Scholar 

  • Bartolini, S., M. Mikucka, F. and Sarracino (2015). ‘Money, trust, and happiness in Transition countries: evidence from time series’. Social Indicators Research, forthcoming.

    Google Scholar 

  • Becchetti, L. (2010). ‘The money—happiness relationship in transition: Evidence from Albania’. Transition Studies, 17(1), 39–62.

    Article  Google Scholar 

  • Benz, M. and B.S. Frey (2008). ‘The value of doing what you like: Evidence from the selfemployed in 23 countries’. Journal of Economic Behavior and Organization, 68(3), 445–455.

    Article  Google Scholar 

  • Binswanger, M. (2006). ‘Why does income growth fail to make us happier? Searching for the treadmills behind the paradox of happiness’. Journal of Socio-Economics, 35, 366–381.

    Article  Google Scholar 

  • Blanchflower, D.G. (2001). ‘Unemployment, well-being, and wage curves in Eastern and Central Europe’. Journal of the Japanese and International Economies, 15(4), 364–402.

    Article  Google Scholar 

  • Blanchflower, D.G. and A.J. Oswald (2008). ‘Is well-being U-shaped over the life cycle?’ Social science and medicine, 66(8), 1733–1749.

    Article  Google Scholar 

  • Blanchflower, D.G. and R. Freeman (1997). ‘The attitudinal legacy of communist labor relations’. Industrial Labor Relations Review, 50, 438–459.

    Article  Google Scholar 

  • Bohnke, P. (2008). ‘Does society matter? Life satisfaction in an enlarged Europe’. Social Indicators Research, 87, 189–210.

    Article  Google Scholar 

  • Boyce, C., G. Brown, and S. Moore (2010). ‘Money and happiness: rank of income, not income, affects life satisfaction’. Psychological Science, 21(4), 471–476.

    Article  Google Scholar 

  • Brainerd, E. (1998). ‘Winners and losers in Russia’s economic transition’. American Economic Review, 88(5), 1094–1116.

    Google Scholar 

  • Brockmann, H., J. Delhey, C. Welzel, and H. Yuan (2009). ‘The China puzzle: Falling happiness in a rising economy’. Journal of Happiness Studies, 10(4), 387–405.

    Article  Google Scholar 

  • Caporale, G.M., Y. Georgellis, N. Tsitsianis, and Y.P. Yin (2009). ‘Income and happiness across Europe: Do reference values matter?’ Journal of Economic Psychology, 30(1), 42–51.

    Article  Google Scholar 

  • Cerami, A. (2010). ‘Happiness and socio-economic transformations in the Russian Federation’ in B. Greve (ed) Social Policy and Happiness in Europe (Cheltenham: Edward Elgar), 101–119.

    Google Scholar 

  • Chzhen, Y. (2014). ‘Subjective impact of the economic crisis on households with children in 17 European countries’. Innocenti Working Papers, WP/725 (Florence, Italy: UNICEF Innocenti Research Centre).

    Book  Google Scholar 

  • Clark, A.E. (1997). ‘Job satisfaction and gender: why are women so happy at work?’ Labour Economics, 4(4), 341–372.

    Article  Google Scholar 

  • Clark, A. and M. Maurel (2001). ‘Well-being and wage arrears in Russian Panel Data’. Экономический журнал ВШЭ, 2, 179–193.

    Google Scholar 

  • Clark, A.E., and C. Senik (2010). ‘Who compares to whom? The anatomy of income comparisons in Europe’. The Economic Journal, 120(544), 573–594.

    Article  Google Scholar 

  • Clark, A.E., P. Frijters, and M.A. Shields (2008). ‘Relative Income, Happiness, and Utility: An Explanation for the Easterlin Paradox and Other Puzzles’. Journal of Economic Literature, 46(1), 95–144.

    Article  Google Scholar 

  • Clark, A., N. Kristensen, and N. Westergård-Nielsen (2009). ‘Job satisfaction and co-worker wages: status or signal?’ The Economic Journal, 119, 430–447.

    Article  Google Scholar 

  • Danzer, A., B. Dietz, K. Gatskova, and A. Schmillen (2014). ‘Showing off to the new neighbors? Income, socioeconomic status and consumption patterns of internal migrants’. Journal of Comparative Economics, 42(1), 230–245.

    Article  Google Scholar 

  • Danzer, A., and Weisshaar, N. (2009). ‘The Long Run Consequences of the Chernobyl Catastrophe on Subjective Well-being and its Set-point. Evidence from Two Ukrainian Data Sets’. Working Paper, WPEG Conference, 13–15 July (Sheffield, UK: Work, Pensions and Labour Economics Study Group).

    Google Scholar 

  • Diener, E. (1984). ‘Subjective well-being’. Psychological Bulletin, 95, 542–575.

    Article  Google Scholar 

  • Diener, E., E.M. Suh, R.E. Lucas, and H.L. Smith (1999). ‘Subjective well-being: Three decades of progress’. Psychological Review, 125, 276–302.

    Google Scholar 

  • Di Tella, R., J. Haisken-DeNew, and R. MacCulloch (2010). ‘Happiness adaptation to income and to status in an individual panel’. Journal of Economic Behavior and Organization, 76, 834–852.

    Article  Google Scholar 

  • Duesenberry, J.S. (1949). Income, saving, and the theory of consumer behavior (Cambridge, MA: Harvard University Press).

    Google Scholar 

  • Dumludag, D. (2014). ‘Satisfaction and comparison income in transition and developed economies’. International Review of Economics, 61, 127–152.

    Article  Google Scholar 

  • Easterlin, R.A. (1974). ‘Does economic growth improve the human lot? Some empirical evidence’ in P.A. David and M.W. Reder (eds) Nations and households in economic growth: essays in honor of Moses Abramovitz (New York: Academic Press), 89–125.

    Google Scholar 

  • Easterlin, R.A. (1995). ‘Will raising the incomes of all increase the happiness of all?’ Journal of Economic Behaviour and Organization, 27, 35–47.

    Article  Google Scholar 

  • Easterlin, R.A. (2009). ‘Lost in transition: Life satisfaction on the road to capitalism’. Journal of Economic Behavior and Organization, 71(2), 130–145.

    Article  Google Scholar 

  • Eggers, A., C. Gaddy, and C. Graham (2006). ‘Well-being and unemployment in Russia in the 1990s: Can society’s suffering be individuals’ solace?’ Journal of Socio-Economics, 35, 209–242.

    Article  Google Scholar 

  • Ferrer-i-Carbonell, A. (2005). ‘Income and well-being: an empirical analysis of the comparison income effect’. Journal of Public Economics, 89(5), 997–1019.

    Article  Google Scholar 

  • Festinger, L. (1954). ‘A theory of social comparison processes’. Human Relations, 7(2), 117–140.

    Article  Google Scholar 

  • Florea, A. and S. Caudill (2013). ‘Happiness, religion and economic transition’. Economics of Transition, 22(1), 1–12.

    Article  Google Scholar 

  • Frey, B.S., and A. Stutzer (2002). ‘What can economists learn from happiness research?’ Journal of Economic Literature, 40, 402–435.

    Article  Google Scholar 

  • Frijters, P., M.A. Shields, and J.P. Haisken-DeNew (2004). ‘Money does matter! Evidence from increasing real incomes in East Germany following reunification’. American Economic Review, 94(3), 730–740.

    Article  Google Scholar 

  • Frijters, P., I. Geishecker, J.P. Haisken-DeNew, and M.A. Shields (2006). ‘Can the Large Swings in Russian Life Satisfaction be Explained by Ups and Downs in Real Incomes?’ The Scandinavian Journal of Economics, 108(3), 433–458.

    Article  Google Scholar 

  • Graham, C. and S. Pettinato (2002). ‘Frustrated achievers: Winners, losers and subjective well-being in new market economies’. Journal of Development Studies, 38(4), 100–140.

    Article  Google Scholar 

  • Graham, C., A. Eggers, and S. Sukhtankar (2004). ‘Does happiness pay? An exploration based on panel data from Russia’. Journal of Economic Behavior and Organization, 55, 319–342.

    Google Scholar 

  • Grün, C. and S. Klasen (2012). ‘Has transition improved well-being?’ Economic Systems, 36(1), 11–30.

    Article  Google Scholar 

  • Guriev, S. and E. Zhuravskaya (2009). ‘(Un)happiness in transition’. Journal of Economic Perspectives, 23, 143–168.

    Article  Google Scholar 

  • Habibov, N. and E. Afandi (2015). ‘Pre-and Post-crisis Life-Satisfaction and Social Trust in Transitional Countries: An Initial Assessment’. Social Indicators Research, 121, 503–524.

    Article  Google Scholar 

  • Hayo, B. (2007). ‘Happiness in transition: an empirical study on Eastern Europe’. Economic Systems, 31, 204–221.

    Article  Google Scholar 

  • Hayo, B. and W. Seifert (2003). ‘Subjective economic well-being in Eastern Europe’. Journal of Economic Psychology, 24, 204–221.

    Article  Google Scholar 

  • Headey, B., R. Muffels, and M. Wooden (2008). ‘Money does not buy happiness: Or does it? A reassessment based on the combined effects of wealth, income and consumption’. Social Indicators Research, 87(1), 65–82.

    Article  Google Scholar 

  • Helliwell, J.F., H. Huang, and S. Wang (2014). ‘Social capital and well-being in times of crisis’. Journal of Happiness Studies, 15(1), 145–162.

    Article  Google Scholar 

  • Hirschman, A. and M. Rothschild (1973). ‘The changing tolerance for income inequality in the course of economic development’. Quarterly Journal of Economics, 87(4), 544–566.

    Article  Google Scholar 

  • Inglehart, R., R. Foa, E. Ponarin, and C. Welzel (2013). ‘Understanding the Russian malaise: the collapse and recovery of subjective well-being in post-communist Russia’. HSE Working Papers, WP BRP 32/SOC/2013 (Moscow: National Research University Higher School of Economics).

    Google Scholar 

  • Kahneman, D. and A.B. Krueger (2006). ‘Developments in the measurement of subjective well-being’. The Journal of Economic Perspectives, 20(1), 3–24.

    Article  Google Scholar 

  • Kahnemann, D., P. Wakker, and R. Sarin (1997). ‘Back to Bentham? Explorations of experienced utility’. Quarterly Journal of Economics, 112(2), 375–405.

    Article  Google Scholar 

  • Kahneman, D., E. Diener, and N. Schwarz (eds) (1999). Well-being: Foundations of hedonic psychology (New York: Russell Sage Foundation).

    Google Scholar 

  • Kalbarczyk, M. (2006). ‘Income and satisfaction: Panel data analysis for Poland and England’. Discussion Paper (Warsaw, Poland: Warsaw University, Faculty of Economic Science).

    Google Scholar 

  • Kalyuzhnova, Y. and U. Kambhampati (2008). ‘The determinants of individual happiness in Kazakhstan’, Economic Systems, 32, 285–299.

    Article  Google Scholar 

  • Kapteyn, A., B. Van Praag, and F.G. Van Herwaarden (1978). ‘Individual welfare functions and social reference spaces’. Economics Letters, 1(2), 173–177.

    Article  Google Scholar 

  • Knight, J., L. Song, and R. Gunatilaka (2009). ‘Subjective well-being and its determinants in rural China’. China Economic Review, 20(4), 635–649.

    Article  Google Scholar 

  • Konow, J. and J. Earley (2008). ‘The Hedonistic Paradox: Is homo economicus happier?’ Journal of Public Economics, 92(1), 1–33.

    Article  Google Scholar 

  • Layard, R. (2005). Happiness: lessons form a New Science (London: Allen Lane).

    Google Scholar 

  • Lelkes, O. (2006). ‘Tasting freedom: Happiness, religion and economic transition’. Journal of Economic Behavior and Organization, 59, 173–194.

    Article  Google Scholar 

  • Lévy-Garboua, L. and C. Montmarquette (2004). ‘Reported job satisfaction: what does it mean?’ The Journal of Socio-Economics, 33(2), 135–151.

    Article  Google Scholar 

  • Litchfield, J., B. Reilly, and M. Veneziani (2012). ‘An analysis of life satisfaction in Albania: An heteroscedastic ordered probit model approach’. Journal of Economic Behavior and Organization, 81(3), 731–741.

    Article  Google Scholar 

  • Luttmer, E. (2005). ‘Neighbours as Negatives: Relative Earnings and Well-Being’. Quarterly Journal of Economics, 120, 963–1002.

    Google Scholar 

  • Malešević Perović, L. (2008). ‘Subjective Economic Well-being in Transition countries: Investigating the Relative Importance of Macroeconomic Variables’. Financial Theory and Practice, 32(4), 519–537.

    Google Scholar 

  • Mitrut, A. and F.C. Wolff (2011). ‘Do private and public transfers received affect life satisfaction? Evidence from Romania’. Journal of Economic Psychology, 32(6), 969–979.

    Article  Google Scholar 

  • Molnár, G. and Z. Kapitány (2006). ‘Mobility, uncertainty and subjective well-being in Hungary’. IEHAS Discussion Paper, DP/0605 (Budapest: Hungarian Academy of Sciences).

    Google Scholar 

  • Namazie, C. and P. Sanfey (2001). ‘Happiness and transition: The case of Kyrgyzstan’. Review of Development Economics, 5, 392–405.

    Article  Google Scholar 

  • Ng, Y.K. (1997). ‘A case for happiness, cardinalism, and interpersonal comparability’. Economic Journal, 107, 1848–1858.

    Article  Google Scholar 

  • OECD (2001). The well-being of nations: The role of human and social capital (Paris: OECD Centre for Educational Research and Innovation).

    Google Scholar 

  • Peiró, A. (2006). ‘Happiness, satisfaction and socio-economic conditions: Some international evidence’. The Journal of Socio-Economics, 35(2), 348–365.

    Article  Google Scholar 

  • Popova, O. (2014). ‘Can religion insure against aggregate shocks to happiness? The case of transition countries’. Journal of Comparative Economics, 42(3), 804–818.

    Article  Google Scholar 

  • Pew Global Attitudes Project (2009). ‘Two Decades After the Wall’s Fall, End of Communism Cheered but Now With More Reservations’ (Washington, DC: Pew Research Center), date accessed 11 September 2015, http://pewglobal.org/files/pdf/267.pdf

    Google Scholar 

  • Rätzel, S. (2012). ‘Labour Supply, Life Satisfaction, and the (Dis) Utility of Work’. The Scandinavian Journal of Economics, 114(4), 1160–1181.

    Article  Google Scholar 

  • Ravallion, M. and M. Lokshin (2001). ‘Identifying welfare effects from subjective questions’. Economics, 68, 337–357.

    Google Scholar 

  • Richardson, D., P. Hoelscher, and H. Bradshaw (2008). ‘Child well-being in Central and Eastern European Countries (CEE) and the Commonwealth of Independent States (CIS)’. Child Indicators Research, 1, 211–250.

    Article  Google Scholar 

  • Rodríguez-Pose, A. and K. Maslauskaite (2012). ‘Can policy make us happier? Individual characteristics, socio-economic factors and life satisfaction in Central and Eastern Europe’. Cambridge Journal of Regions, Economy and Society, 5(1), 77–96.

    Article  Google Scholar 

  • Rodríguez-Pose, A. and V. von Berlepsch (2014). ‘Social capital and individual happiness in Europe’. Journal of Happiness Studies, 15(2), 357–386.

    Article  Google Scholar 

  • Rovelli, R. and A. Zaiceva (2013). ‘Did support for economic and political reforms increase during the post-communist transition, and if so, why?’ Economics of Transition, 21(2), 193–240.

    Article  Google Scholar 

  • Ryan, R.M. and E.L. Deci (2001). ‘On happiness and human potentials: A review of research on hedonic and eudaimonic well-being’. Annual Review of Psychology, 52(1), 141–166.

    Article  Google Scholar 

  • Samuelson, P.A. (1938). ‘A note on the pure theory of consumer’s behavior’. Economica, 5, 61–71.

    Article  Google Scholar 

  • Sanfey, P. and U. Teksoz (2007). ‘Does transition make you happy?’ Economics of Transition, 15, 707–731.

    Article  Google Scholar 

  • Sapsford, R. and P. Abbott (2006). ‘Trust, confidence and social environment in postcommunist societies’. Communist and Post-Communist Studies, 39(1), 59–71.

    Article  Google Scholar 

  • Saris, W.E. (2001). ‘What influences subjective well-being in Russia?’ Journal of Happiness Studies, 2, 137–146.

    Article  Google Scholar 

  • Saris, W.E., and A. Andreenkova (2001). ‘Following changes in living conditions and happiness in post communist Russia: The Russet panel’. Journal of Happiness Studies, 2(2), 95–109.

    Article  Google Scholar 

  • Schyns, P. (2000). ‘The relationship between income, changes in income and life-satisfaction in West Germany and the Russian Federation: relative, absolute, or a combination of both?’ in E. Diener and D. R. Rahtz (eds) Advances in Quality of Life Theory and Research (The Netherlands: Springer), 83–109.

    Chapter  Google Scholar 

  • Scitovsky, T. (1976). The joyless economy: An inquiry into human satisfaction and consumer dissatisfaction (Oxford: Oxford University Press).

    Google Scholar 

  • Selezneva, E. (2011). ‘Surveying transitional experience and subjective well-being: income, work, family’. Economic Systems, 35(2), 139–157.

    Article  Google Scholar 

  • Selezneva, E. and C. Perugini (2014). ‘Temporary job position and life satisfaction under different institutional context. Analysis for western and eastern Europe’. Paper presented at the 3rd Biannual Assisi workshop on Economics and Institutions ‘Inequality, technology and institutions in Europe’, Assisi, Italy, 20–21 February 2014.

    Google Scholar 

  • Sen, A. (2009). The idea of justice. (Cambridge, MA: The Belknap Press of Harvard University Press).

    Google Scholar 

  • Senik, C. (2004). ‘When information dominates comparison: Learning from Russian subjective panel data’. Journal of Public Economics, 88(9), 2099–2123.

    Article  Google Scholar 

  • Senik, C. (2008). ‘Ambition and jealousy: Income interactions in the “Old” Europe versus the “New” Europe and the United States’. Economica, 75(299), 495–513.

    Article  Google Scholar 

  • Smyth, R. et al. (2011). ‘A study of the impact of environmental surroundings on personal well-being in urban China using multi-item well-being indicator’. Population and Environment, 32(4), 353–375.

    Article  Google Scholar 

  • Sousa-Poza, A. and A.A. Sousa-Poza (2000). ‘Well-being at work: a cross-national analysis of the levels and determinants of job satisfaction’. The Journal of Socio-Economics, 29(6), 517–538.

    Article  Google Scholar 

  • Sousa-Poza, A. and A.A. Sousa-Poza (2003). ‘Gender differences in job satisfaction in Great Britain, 1991–2000: permanent or transitory?’ Applied Economics Letters, 10(11), 691–694.

    Article  Google Scholar 

  • Stevenson, B. and J. Wolfers (2006). ‘Economic growth and subjective well-being: reassessing the Easterlin Paradox’. NBER Working Paper WP/14282 (Cambridge, MA: National Bureau of Economic Research).

    Google Scholar 

  • Tatarkiewicz, W. (1976). Analysis of happiness (The Hague, Netherlands: Martinus Nijhoff).

    Book  Google Scholar 

  • Theodossiou, I. and G.A. Panos (2007). ‘Earnings aspirations and job satisfaction: the affective and cognitive impact of earnings comparisons’. University of Aberdeen Business School Working Paper, WP/2007-01 (Aberdeen, UK: Centre for European Labour Market Research).

    Google Scholar 

  • Van Landeghem, B., J. Swinnen, and L. Vranken (2013). ‘Land and Happiness’. Eastern European Economics, 51(1), 61–85.

    Article  Google Scholar 

  • Van Praag, B. (2011). ‘Well-being inequality and reference groups: an agenda for new research’. The Journal of Economic Inequality, 9(1), 111–127.

    Article  Google Scholar 

  • Veblen, T. (1899). The theory of leisure class. (New York: Modern Library).

    Google Scholar 

  • Vecerník, J. (2003). ‘Skating on thin ice: a comparison of work values and job satisfaction in CEE and EU countries’. International Journal of Comparative Sociology, 44(5), 444–471.

    Article  Google Scholar 

  • Veenhoven, R. (2001). ‘Are the Russians as unhappy as they say they are?’ Journal of Happiness Studies, 2(2), 111–136.

    Article  Google Scholar 

  • Wilson, W.R. (1967). ‘Correlates of avowed happiness’. Psychological Bulletin, 67(4), 294.

    Article  Google Scholar 

Download references

Authors
  1. Ekaterina Selezneva
    View author publications

    You can also search for this author in PubMed Google Scholar

Editor information

Editors and Affiliations

  1. Bournemouth University, UK

    Jens Hölscher (Professor of Economics and Head of Department) (Professor of Economics and Head of Department)

  2. Freie University Berlin, Germany

    Horst Tomann (Jean Monnet Professor for European Economic Policy) (Jean Monnet Professor for European Economic Policy)

Copyright information

© 2015 Ekaterina Selezneva

About this chapter

Cite this chapter

Selezneva, E. (2015). Happiness in Transition. In: Hölscher, J., Tomann, H. (eds) Palgrave Dictionary of Emerging Markets and Transition Economics. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-137-37138-6_29

Download citation

Publish with us

Policies and ethics

Search

Navigation