The Pursuit of Happiness: the Structure of Happiness Based on Economic and Non-Economic Factors

Document Type : Research Paper

Authors

Faculty of Management and Economics, Science and Research Branch, Islamic Azad University, Tehran, Iran

Abstract

Relying on the objective utility and measuring the level of happiness of people based on their choices is related to homo-economicus and a limited definition of human, which has been used as a presupposition by conventional theories in economics for years. Many studies show the deviation of reality and experimental data from the predictions of standard theories about happiness. In this study, we will try to introduce a structure for happiness so that in addition to considering the economic aspects, the effect of other fields on people's perception of happiness or subjective well-being can be determined. Based on the attitude of behavioral economics, we have re-examined utility and happiness, due to the data collected from 192 students in different grades of university. We have confirmed a structure for happiness, which is related to the psychological well-being. Economic well-being, social well-being and physical well-being also affects happiness indirectly through psychological well-being. This study is interdisciplinary research, which seeks to expand the conventional economic theories by replacing the real human being instead of the homo-economicus. The results show that the main source of people's happiness is their psychological well-being, and in psychological well-being, the most important factor is physical well-being. The second and third order goes to social well-being and economic well-being. Income or economic factors, which is the main in determining people's happiness in conventional prospect, is only one of the determining factors of psychological well-being, which happiness originates from.

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History

  • Receive Date: 07 October 2023
  • Revise Date: 13 January 2024
  • Accept Date: 16 January 2024

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