(TIỂU LUẬN) đề tài THAM dự CUỘC THI NGHIÊN cứu KHOA học TRONG LĨNH vực QUẢN TRỊ 2022 research on factors affecting happiness

BỘ GIÁO DỤC VÀ ĐÀO TẠO TRƯỜNG ĐẠI HỌC KINH TẾ TP HCM -o0o KHOA QUẢN TRỊ ĐỀ TÀI THAM DỰ CUỘC THI NGHIÊN CỨU KHOA HỌC TRONG LĨNH VỰC QUẢN TRỊ 2022 Research on factors affecting happiness MÃ SỐ ĐỘI THI: QT-90 Thành phố Hồ Chí Minh, 2022 GVHD: Thạc sĩ Lâm Mạnh Hà Thông tin thành viên nhóm: STT T PREFACE The reasons for writing Research’s purpose and methods CHAPTER 1: RELATED STUDIES AND THEORIES 1.1 Related Studies 1.1.1 Happiness definition 1.1.2 HPI 1.1.3 GWB 1.1.4 SWB 1.2 Theories 1.2.1 Top-down perspective 1.2.2 Bottom-up perspective CHAPTER 2: ANALYTICAL METHODS 2.1 Objects and scope of the research 2.2 Research Methods 2.3 Description of the data and data processing 2.3.1 Description of the data 2.3.2 Data processing CHAPTER 3: ESTIMATION AND STATISTICAL INFERENCE 3.1 Estimation Model 3.1.1 OLS Model 3.2 Verify and correct model defects 3.2.1 Verify T-Test 3.1.2 Verify the explanatory level of the model 3.1.3 Verify model relevance 3.1.4 Verify Multicollinearity 3.1.5 Verify Autocorrelation 3.1.6 Verify the phenomenon of residual variance changes 3.2 Hypothesis testing 3.2.1 Verify the relevance of results with expectation 3.2.2 White-Test CONCLUSION 35 REFERENCES 36 APPENDIX 37 DECLARATION OF AUTHORSHIP 41 THANK YOU 41 LIST OF ABBREVIATIONS HPI: Happy Planet Index GDP: Gross Domestic Product SWB: Subjective Well-being OLS: Ordinary Least Squares GWB: General Well-being PREFACE The reasons for writing Happiness is perceived and defined in many ways Professor Ngo Bao Chau did put the concept of happiness into the story of the glass of water If it is said to be half full, then it is correct, but if it is said to be half empty, it is also true It all depends on our perspective and choices Therefore, happiness is considered a rather abstract and subjective matter because it depends on the perception of each person in specific contexts This is a topic that attracts many researchers, specifically, many philosophical theories and religious ideas have found their own way of explaining happiness For example, in 1835, Karl Marx used to write that " the happiest person is the one who brings happiness to the most people " Democit argues that happiness is a pleasant feeling Epicur said that happiness consists in the absence of fear of death Those who follow the Confucian sect, advocate that intellectuals must study well and bring their talents to help the world and the country The greatest happiness of a gentleman is to contribute to society and establish a reputation Plato described happiness as something that is unique because we not want it for the sake of anything else It is a “persistent state that emerges from devotion to wisdom and virtue.” (the pursuit of happiness) Descartes made a fundamental distinction between things that depend on us, like virtue and wisdom, and those that may not, such as honors, riches, and health In an interesting twist on the question of happiness as contentment or life purpose, Descartes believed that those who were not only wise and virtuous but also favored by fortune had a greater capacity for contentment (the pursuit of happiness) The concept of happiness as life satisfaction is also studied and used by NEF (New Economics Foundation) as one of the three main factors of the Happy Planet Index (HPI), which will be discussed in more detail in the following chapters of this study Carol Graham, The Pursuit of Happiness, An Economy of Well-Being In developing countries, people's income has also increased many times compared to the previous generation However, the question is whether people are really happy or satisfied with their current life or not Research’s purpose and methods The concept of happiness as life satisfaction is also studied and used by NEF (New Economics Foundation) as one of the three main factors of the Happy Planet Index (HPI), which will be discussed in more detail in the following chapters of this study In developing countries, people's income has also increased many times compared to the previous generation However, the question is whether people are really happy or satisfied with their current life or not The objective of the research is to analyze and identify the main factors affecting the happiness or satisfaction index of the people such as: age, sex, health, education level, marital status marriage, divorce, unemployment, religious beliefs, politics, regions, We discover how happiness varies in relation to the variables that we are able to gather information about Moreover, the study also provides policy suggestions to improve people's happiness index The research is based on the following hypotheses: Whether income and happiness are indeed positively related; Whether good health will positively affect happiness; Whether unemployment and divorce negatively affect happiness and whether factors of social capital such as belief in religion, politics, etc positive influence on happiness The study consists of chapters Chapter 1: Related studies and theories Chapter 2: Analytical methods Chapter 3: Estimation and Statistical Inference CHAPTER 1: RELATED STUDIES AND THEORIES 1.1 Related Studies 1.1.1 Happiness definition Happiness can simply be understood as an emotional state characterized by feelings of joy, satisfaction, contentment, and fulfillment While happiness has many different definitions, it is often described as involving positive emotions and life satisfaction However, the term led to controversy in the definition aspect On the one hand, philosophers and psychologists worldwide have defined it in their own way For instance, Daniel Kahneman has defined happiness as "what I experience here and now" This usage is prevalent in dictionary definitions of happiness Happiness, according to Ruut Veenhoven, is the "total appreciation of one's existence as-a-whole." According to Kahneman, this is more significant to people than recent experience On the other hand, Jeremy Bentham, an English philosopher, jurist, and social reformer had another idea Bentham defined his philosophy's "fundamental axiom" as the principle that "it is the greatest happiness of the greatest number that is the measure of right and wrong." The felicific calculus is an algorithm formulated by him that calculates the degree or amount of pleasure that a specific action is likely to induce In this research, our group will focus mainly on the perspective that happiness is referred to as hedonic (Ryan & Deci, 2001), the presence of positive emotions, and the absence of negative emotions By approaching the problem in this way, we can calculate related figures objectively Happiness Economic GDP (Gross Domestic Product) is an indicator to calculate the total national income, and is said to be a measure of the "health" of the world's economies But while gross national income is not the same as national welfare, a high GDP does not mean a high level of happiness and social security Therefore, in 1974 Richard Easterlin, an American economist, challenged the concept of GDP by looking at survey reports of people's happiness from 19 countries over the previous three decades and remarked that The concept of happiness - Erasmus Happiness Economics Research Organisation Jeremy Bentham (1748-1832) - Competition and Appropriation GDP and welfare are not as closely related as is commonly thought The result of Easterlin's investigation is known as the Easterlin paradox The Easterlin paradox states that “when considered in a moment, money and happiness are related However, over a long period of time, happiness does not increase as income improves." Since then, Richard Easterlin has become the main thinker of the concept of Happiness Economics: “The goal is to maximize happiness, not income.” Like Richard Easterlin, Richard Layard believes that human happiness is of paramount importance to society and to individuals themselves He makes the case that progressive taxation will make society unquestionably better off from the perspective of happiness as one of the foremost academic proponents of happiness.He also insists that the fundamental impulse of a government should be the creation of well-being and not just wealth Particularly, three basic principles that support for Layard's perspective underlie happiness economics: “The way we judge the situation or the state of a nation is by the happiness of the people, especially the happiness of the least-happy people.” “We should try and produce the best state in the world that we can in the way that we live our lives and the people we touch or could touch So we should be trying to produce the largest amount of happiness in the world that we can, especially taking into account the people who are least happy.” “Governments should also be trying to produce the greatest happiness in people, especially preventing misery That was the view of Thomas Jefferson; I think it was the right view.” 1.1.2 HPI The Happy Planet Index (HPI) introduced by the New Economics Foundation in 2006 combines three elements (life expectancy, well-being and ecological footprint) to show how efficiently residents of different countries are using environmental resources to lead long, happy lives It showed that people can live long, happy lives without using more than their fair share of the Earth’s resources Easterlin paradox (1974) Richard Easterlin How is the HPI calculated? The HPI is determined by dividing the expected "happy life years" by the resource consumption of a nation The average life expectancy is multiplied by the number of "happy life years," which is determined using both subjective judgments and objective data and assessed on a scale from to 10 The per capita CO2 footprint is used to calculate resource usage The area required to absorb the CO2 emissions produced by a country as a result of its usage of fossil fuels is referred to as the footprint (oil, natural gas, coal) Happy Planet Index = Life Expectancy x Experienced Wellbeing Ecological Footprint How is the Happy Planet Index different? Unlike other indices, such as the Quality of Life Index or World Happiness Report, the Happy Planet Index does not rank countries in terms of quality of life or happiness Instead, it looks at which countries are best at using minimal ‘inputs’ of natural resources to create the maximum possible ‘outputs’ of long, happy lives – thus delivering truly “sustainable wellbeing” The Happy Planet Index does not consider societies truly successful if they deliver “good lives” which use more resources than the earth can support OR if they consume within the Earth’s limits, but have very low levels of wellbeing or life expectancy HPI aims to create happy and healthy lives for everyone now and then by reducing poverty and deprivation The Happy Planet Index provides a compass to guide nations towards genuine progress What are (according to its proponents) the advantages of the HPI? - The HPI asks the question of the fundamental “why?” of economic activity It suggests that our most important goal should be to lead long and happy lives, while preserving the ecological foundations this requires Pure economic growth as expressed by the GDP should not be an end in itself The data sources used by the HPI are: UN Human Development Reports for life expectancy, the World Database of Happiness by R Veenhoven for life satisfaction and the Global Footprint Network for the ecological footprint - The HPI offers a clear path to a sustainable, fair future by combining life satisfaction with ecological aspects - The index is based on relatively simple calculations, making it easy to understand (and therefore to communicate) - It enables comparisons between countries What are (according to its critics) the disadvantages of the HPI? - The HPI disregards issues such as political freedom, human rights or labour rights - The concept of CO2 footprint is also controversial, in part because it is restricted to CO2 emissions, ignoring e.g water consumption - The available data is not always satisfactory - Misleading name: the HPI is not an indicator of happiness, but of ecological efficiency in achieving satisfaction in a country - Many critics are fundamentally skeptical about the measurability of “subjective well-being” - “Happiness” and “satisfaction” are both subjective and individual, besides being culturally dependent - Another difficulty is the impact of politics on “happiness and satisfaction” The question arises as to whether the HPI can be used to assess political measures Furthermore, it is perfectly possible for nationalist policies to increase cohesion and satisfaction in a country; should this be regarded as a positive development? 1.1.3 GWB One aspect of wellbeing is not having any illness or disease It encompasses a wide range of components related to a person's physical, mental, emotional, and social health Well-being and happiness are closely related concepts How you feel about your life and yourself can be used to define your level of well-being The answer is not about having more money Money and wellbeing are related because having enough money enhances living conditions and raises social standing However, happiness may increase with income—but only to a certain point 29 30 3.2 Hypothesis testing 3.2.1 Verify the relevance of results with expectation Table 6: Pearson Correlation result From the above table we can observe that: - = 0.044: All other factors held constant, the mean value of the expected happiness index of people who participate in a political system is 0.044% higher than that of people who not participate in a political system The relationship between HP and Politics is a positive relationship, this result is as expected - = 0.017: With all other factors constant, the average value of the expected happiness index of a person who participates in a religious organization is 0.017% higher than that of a person who does not join a religious organization 31 The relationship between HP and Religion is a positive relationship, this result is as expected - = -0.042: With other factors constant, the average value of the expected happiness index of the unemployed is 0.042% lower than that of a non-employed person The relationship between HP and Unemployment is a negative relationship, this result is as expected - = 0.143: With all other factors constant, the mean value of the divorce index's happiness expectation is 0.143% This result is exactly as expected - = -0.175: When the marriage index increases by 1% with all other factors unchanged, the mean value of the expected happiness index decreases by 0.175% The relationship between HP and Marriage is negative, this result is as expected - = 0.060: With all other factors constant, the mean value of the expected happiness level of a male citizen is 0.060% higher than that of a female citizen This result is exactly as expected - = 0.133: When people's age increases by 1% with all other factors constant, the mean value of people's expected happiness index increases by 0.133% The relationship between HP and AGE is positive, this result is as expected - = 0.133: When the age of the Vietnamese people increases by 1% with all other factors constant, the average value of the Vietnamese people's expected happiness index increases by 0.0133% The relationship between HP and Health is a positive relationship, this result is as expected - = -0.091: When the education level of the Vietnamese people increases by 1% with all other factors constant, the average value of the Vietnamese people's expected happiness index increases by 0.091% The relationship between HP and Education is inverse, this result is as expected 32 - = 0.339: When the health index increases by 1% with all other factors 10 unchanged, the average value of the Vietnamese people's happiness expectation increases by 0.339% The relationship between HP and Health is a positive relationship, this result is as expected - 11 = -0.162: With all other factors constant, the average value of the happiness index expectation of a person with a low income is 16.2% lower than that of a person with a high income The relationship between HP and Income is negative, this result is different from the initial expectation - 12 = 0.023: With all other factors constant, the average value of the happiness index expectation of a person who does not care about work is 2.3% lower than that of a person who cares about work The relationship between HP and Work Important is a positive relationship, this result is as expected - 13 = 0.135: With all other factors constant, the average value of happiness index expectation of a person without leisure time is 13.5% lower than that of a person with leisure time The relationship between HP and Leisure Time is a positive relationship, this result is as expected - 14 = 0.119: With all other factors constant, the average value of happiness index expectation of a person who does not value family is 11.9% lower than that of someone who values family The relationship between HP and Family Important is positive, this result is as expected - 15 = 0.121: With all other factors constant, the mean value of happiness index expectation of people who not value friendship is lower than that of someone who values friendship by 12.1% The relationship between HP and Friends Important is positive, this result is as expected 33 3.2.2 White-Test To estimate the regression equation, use White's weighted least squares method: Model Model Politics Religion Age Education Health Income Work important Leisure time Family important Friends important VV2 VV3 VV4 VV5 VV6 VV7 VV8 VV9 VV10 VV11 VV12 VV13 VV14 VV15 34 Test hypothesis: H0 : a2 = a3 = a4 = … = a25 = H1: at least one of the α is different from zero The statistic with computed value is: χ²qs = nR ² = 1478*0,0269 = 39,7582 The Critical value is χ² α (k-1)= χ² 0,05 (30-1)= 42,56 Since the calculated value is smaller than the tabulated value, therefore, the null hypothesis is accepted Therefore, on the basis of the White general heteroscedasticity test, there is no heteroscedasticity 35 CONCLUSION Happiness is actually an abstract concept, because each of us has our own definition of happiness Of course, because of that, there has been a lot of research to find the answer to “What makes people happy” That study aims to suggest policymakers to come up with policies to improve the quality of life, not only economically but also spiritually, specifically, the general happiness of the whole society With our suggestions, we hope to help improve people's quality of life, and happiness level In order to study this group of us used data from the World Survey Value, then use a economic model to show the factors that have contributed to the happiness of man As hard as we can, this study still has certain restrictions because the group has not experienced much experience doing research, process the numbers that can cause a nuisance for the readers, and hope you're understanding In the end, for the importance of the subject and the restrictions of our research, we offer a deeper study of the human happiness that applied to Vietnam The deeper research should explain to the cause and the effects of the variables, which gives us the happiness of the Vietnamese Furthermore, the study should be performed more often to provide an update analysis, so it is advisable to offer an update approach in the conditions of Vietnam 36 REFERENCES [1] Dayana Baez, Skidmore College, Understanding the Relationship between Unemployment and Happiness: How Healthcare Efficiency Plays a Role in Life Satisfaction, 2017 [2] Social Science, Richard Layard on Happiness Economics, 2020 [3] Esteban Ortiz-Ospina and Max Roser, Happiness and Life Satisfaction, 2017 [4] Diener, E., Oishi, S., & Lucas, R E (2009), Subjective well-being: The science of happiness and life satisfaction, Oxford handbook of positive psychology [5] The aim is to maximize happiness, not income, The Economics Book: Big Ideas Simply Explained (2012), DK, DK Publishing [6] Carol Graham (2011) The pursuit of happiness, Brookings Institution Press [7] Subjective well-being - Wikipedia (2012) Retrieved 15 September 2022 https://en.wikipedia.org/wiki?curid=34104355 37 APPENDIX HPI rank 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Country Costa Rica Vanuatu Colombia Switzerland Ecuador Panama Jamaica Guatemala Honduras Uruguay New Zealand Philippines El Salvador United Kingdom Peru Nicaragua Tajikistan Netherlands Dominican Republic Armenia Brazil Bangladesh Mexico Uzbekistan Kyrgyzstan Serbia Nepal Thailand Germany Spain France Mauritius Finland Senegal Ireland Albania Moldova Norway Morocco Italy 38 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 Sweden Palestine, State of Argentina Indonesia Cyprus Venezuela Greece Vietnam Israel Azerbaijan Cambodia Iceland Slovenia Bosnia and Herzegovina Paraguay Congo (Brazzaville) Japan Czech Republic Austria Sri Lanka Slovakia Algeria Portugal Romania Croatia Liberia Chile Singapore Hungary Denmark Iraq Kenya Pakistan Poland Bolivia Uganda Yemen Georgia Mozambique Madagascar Tunisia North Macedonia 39 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 Jordan Iran Malta Egypt Taiwan Australia Belarus Laos Libya Belgium Comoros China Malaysia Ethiopia Saudi Arabia Burkina Faso Benin Niger Montenegro Turkey Ukraine Congo (Kinshasa) Canada Bulgaria Myanmar Cameroon Gabon South Korea Cote d'Ivoire Sudan Ghana Mali Rwanda Lebanon Malawi Kazakhstan Haiti Guinea Burundi United States of America Togo Tanzania Lithuania Namibia 40 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 Bhutan India South Africa Eswatini Russia Mauritania Estonia Zambia United Arab Emirates Latvia Nigeria Hong Kong Bahrain Kuwait Turkmenistan Botswana Luxembourg Trinidad and Tobago Chad Afghanistan Sierra Leone Zimbabwe Lesotho Central African Republic Mongolia Qatar 41 DECLARATION OF AUTHORSHIP We commit that the scientific research is the work of our team, not copy from anyone, because we have researched, read, translated, synthesized and performed by ourselves The theoretical content in the research we used some references as presented in the references section All figures and references are of clear origin and are legally cited If there is any fraud, we will be responsible to the Council as well as the results of our group's research THANK YOU To carry out and complete this scientific research project, we have received support, help as well as interest and encouragement from many agencies, organizations and individuals Scientific research is also completed based on reference, learning experiences from related research results, books and specialized newspapers of many authors at universities, research organizations, and organizations political office First of all, we would like to express our deep gratitude to Mr Lam Manh Ha – the direct scientific guide who has spent a lot of time and effort guiding me during the process of conducting research and completing the research topic of this scientific research We would like to thank the School of Management created such a competition for us to broaden our horizon and all the teachers working in the school for their dedication to imparting valuable knowledge and helping students in the process of studying and researching ... others, along with personal income being one of the factors that have been shown to have a strong impact on the happiness index • Health A series of studies have shown a close relationship between... contentment (the pursuit of happiness) The concept of happiness as life satisfaction is also studied and used by NEF (New Economics Foundation) as one of the three main factors of the Happy Planet... happiness - Erasmus Happiness Economics Research Organisation Jeremy Bentham (1748-1832) - Competition and Appropriation GDP and welfare are not as closely related as is commonly thought The result