Brown, S., Kontonikas, A., Montagnoli, A. et al. (2 more authors) (2019) Life satisfaction and austerity: expectations and the macroeconomy. Working Paper. Sheffield Economic Research Paper Series, 2019011 (2019011). Department of Economics, University of Sheffield ISSN 1749-8368
Abstract
This paper examines the linkages between fiscal austerity and life satisfaction across thirteen European countries using a sample of repeated cross-sections of individuals from 1999 to 2009. Austerity policies may trigger several responses at both the macro and micro-level, which in turn may affect life satisfaction directly or indirectly. We employ a structural equation modelling approach to account for these complex relationships linking austerity to life satisfaction, the macroeconomic environment, an individual's expectations, and the probability of becoming unemployed. We find that austerity is inversely associated with life satisfaction, with a substantial effect operating through an increase in the unemployment rate. In all of the specifications there is also strong evidence of austerity dampening optimism about the future.
Metadata
Item Type: | Monograph |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2019 The Author(s). For reuse permissions, please contact the Author(s). |
Keywords: | Expectations; Fiscal Austerity; Life Satisfaction; Macroeconomic Environment |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Faculty of Social Sciences (Sheffield) > Department of Economics (Sheffield) > Sheffield Economics Research Papers Series The University of Sheffield > Faculty of Social Sciences (Sheffield) > Department of Economics (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 20 Jun 2019 15:30 |
Last Modified: | 21 Jun 2019 10:15 |
Published Version: | https://www.sheffield.ac.uk/economics/research/ser... |
Status: | Published |
Publisher: | Department of Economics, University of Sheffield |
Series Name: | Sheffield Economic Research Paper Series |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:146813 |