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Lags and leads in life satisfaction: a test of the baseline hypothesis

Clark, Andrew E. and Diener, Ed and Georgellis, Yannis and Lucas, Richard E. (2007) Lags and leads in life satisfaction: a test of the baseline hypothesis. CEPDP, 836. Centre for Economic Performance, London School of Economics and Political Science, London, UK. ISBN 9780853282112

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Identification Number: 836

Abstract

We look for evidence of habituation in twenty waves of German panel data: do individuals, after life and labour market events, tend to return to some baseline level of well-being? Although the strongest life satisfaction effect is often at the time of the event, we find significant lag and lead effects. We cannot reject the hypothesis of complete adaptation to marriage, divorce, widowhood, birth of child, and layoff. However, there is little evidence of adaptation to unemployment. Men are somewhat more affected by labour market events (unemployment and layoffs) than are women, but in general the patterns of anticipation and adaptation are remarkably similar by sex.

Item Type: Monograph (Discussion Paper)
Official URL: http://cep.lse.ac.uk
Additional Information: © 2007 the authors
Subjects: H Social Sciences > HQ The family. Marriage. Woman
H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HV Social pathology. Social and public welfare. Criminology
Sets: Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
Date Deposited: 18 Jul 2008 13:32
Last Modified: 09 Aug 2013 09:15
URI: http://eprints.lse.ac.uk/id/eprint/19656

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