Scandinavian Working Papers in Economics

Working Papers,
Örebro University, School of Business

No 2017:8: Subjective and physiological measures of well-being: an exploratory analysis using birth-cohort data

Daniela Andrén (), Andrew E Clark (), Conchita D´Ambrosio (), Sune Karlsson () and Nicklas Pettersson ()
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Daniela Andrén: Örebro University School of Business, Postal: Örebro University, School of Business, SE - 701 82 ÖREBRO, Sweden
Andrew E Clark: Paris School of Economics (PSE), Postal: CNRS. 48 Boulevard Jourdan , 75014 Paris, France
Conchita D´Ambrosio: University of Luxembourg, Postal: Campus Belval. 11, Porte des Sciences, L-4366 Esch-sur-Alzette, Luxembourg
Sune Karlsson: Örebro University School of Business, Postal: Örebro University, School of Business, SE - 701 82 ÖREBRO, Sweden
Nicklas Pettersson: Örebro University School of Business, Postal: Örebro University, School of Business, SE - 701 82 ÖREBRO, Sweden

Abstract: We use a rich longitudinal data set following a cohort of Swedish women from age 10 to 49 to analyse the effects of birth and early-life conditions on adulthood outcomes. These latter include both well-being and the stress hormone cortisol. Employment and marital status are important adult determinants of well-being. Log family income and absence from school also predict adult well-being, although their importance falls when controlling for adult and birth characteristics. Among the birth characteristics, we find that high birth weight (>4.3kg) affects adult well-being. We predict the level of adult cortisol only poorly, and suggest that the relationship between life satisfaction and cortisol is non-monotonic: both high and low cortisol are negatively correlated with life satisfaction. The results from an OLS life satisfaction regression and a multinomial logit of high or low cortisol (as compared to medium) are more similar to each other.

Keywords: life satisfaction; cortisol; birth-cohort data; adult; child and birth outcomes; multivariate imputation by chained equations

JEL-codes: A12; D60; I31

30 pages, October 12, 2017

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