From Capabilities to Contentment: Links between Happiness and Human

Development

Jon Hall, HDRO, UNDP

Binocular Vision

A Spare Eye

A Wider Field of View

Spotting Faint Objects

Depth Perception

Happiness & Human Development … Common Origins

“Our metrics are important not just because they tell us how we are doing but because they serve as guides in policy-making…. GDP measures the busy-ness of our economy. But the big question is whether we are busy doing the right things. Making your economy grow more will not necessarily get you the things that people really want.

Our preoccupation with GDP makes it difficult for politicians to back policies that are good for society and for the environment but which might not result in an increase in GDP..” Joseph StiglitzNobel Laureate

Happiness & Human Development … Strange Bedfellows?

Happiness & Human Development … Strange

Bedfellows?“A grumbling rich man may well be less happy than a contented peasant, but he does have a higher standard of living than that peasant”

Amartya Sen

Happiness & Human Development … Strange

Bedfellows?Our overall happiness - how we feel about our lives - is what matters to us most.

Richard Layard

Happiness & Human Development can Help Each

Other

Measurable Desirable

Human Development

Partially Yes, by definition

Life Satisfaction Yes Usually yes (but not necessarily)

Life Satisfaction vs the HDI

34

56

78

.2 .4 .6 .8 1Human Development Index (HDI)

95% CI Fitted valuesOverall Life Evaluation

Life Satisfaction vs the HDI – Controlling for Income

23

45

67

.2 .4 .6 .8 1Nonincome HDI

95% CI Fitted valuesLife Evaluation Net Effect of Income

Life Satisfaction and its Correlates

  HDI Job Satisfaction

Perceptions of Safety

Economic Conditions

Trust in Government

Government Effectiveness

Freedom of choice

Inequality

Coefficient

4.813*** 6.305*** 1.685*** 1.08* -0.595 0.818*** 4.454*** -6.027***

Constant 2.167*** 0.705* 4.342*** 5.00*** 5.734*** 5.429*** 2.208*** 6.694***

Adj- RSq 0.584 0.599 0.049 0.02 0.002 0.535 0.312 0.335

N. 152 152 148 151 133 152 151 124

It is better to be blind than to see things only from one point of view

Indian Proverb