Original paper
Satisfaction and comparison income
Abstract
This paper attempts to test the hypothesis that utility depends on income relative to a ‘comparison’ or reference level. Using data on 5,000 British workers, it provides two findings. First, workers' reported satisfaction levels are shown to be inversely related to their comparison wage rates. Second, holding income constant, satisfaction levels are shown to be strongly declining in the level of education. More generally, the paper tries to help...
Paper Details
Title
Satisfaction and comparison income
Published Date
Sep 1, 1996
Journal
Volume
61
Issue
3
Pages
359 - 381
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Notes
History