Subjective well-being: a general overview

Ed Diener Psychology Department, University of Illinois, Champaign, IL, U S A ediener@cyrus.psych.uiuc.edu Katherine Ryan Psychology Department, University of Illinois We provide a comprehensive review of the field of subjective well-being in terms of its societal and individual benefits, demographic correlates, theories of origin, and relationship to culture. Interventions to increase well-being are also presented as well as the argument that national accounts of well-being for public policy should be instituted and utilized, alongside economic and social indicators, to both reveal and improve the quality of life within nations. Keywords: happiness; life satisfaction; social indicators; subjective well-being INTRODUCTION Because happiness is a popular term that can refer to pleasant moods and emotions experienced at any given moment (positive affect), to general evaluations of life such as life satisfaction, or to subjective well-being, it is used generally by psychologists but is not useful for more precise communication. In contrast, subjective well-being is an umbrella term used to describe the level of wellbeing people experience according to their subjective evaluations of their lives. These evaluations, which can be both positive and negative, include judgments and feelings about life satisfaction, interest and engagement, affective reactions such as joy and sadness to life events, and satisfaction with work, relationships, health, recreation, meaning and purpose, and other important domains. However, it is important to note that although well-being is subjective in that it occurs within a persons experience, manifestations of subjective well-being can be measured objectively in verbal and non-verbal behavior, actions, biology, attention, and memory. Self-report measures are commonly used to assess subjective well-being. They require respondents to indicate either a global evaluation such as life satisfaction or how much they experience certain feelings. These measures may differ on the response scale, on the time frame, and on whether they are on-line versus retrospective reports, but they are all rooted in their measure of well-being from the subjective standpoint of the respondent. Although there are many measures, some of the most cited are Cantrils (1965) Self-Anchoring Striving Scale, Fordyces (1977) sixty-second happiness measure, W atson, Clark, and Tellegens (1988) PANAS, and the Satisfaction with Life Scale (Diener, Emmons, Larsen, & Griffin, 1985; see Pavot & Diener, 1993b; Pavot & Diener, 2008 for review). Although self-report measures are the most common measures in the field of subjective wellbeing research and generally show high convergence with one another, it is important to realize the danger of measurement bias. W hen everything measured with self-report correlates, the results could indicate a method-variance problem. Therefore, scientists also utilize non-self-report methods, such as observer reports, facial measures, physiological measures, and emotion-sensitive tasks, in order to achieve an objective measure of well-being. Sandvik, Diener, and Seidlitz (1993) found that self-report measures showed reasonable convergent validity with non-self-report measures, and also showed high stability over time. However, research has demonstrated that a number of factors, such as current mood or the surrounding environment, can in some cases influence responses to items measuring global subjective well-being of life satisfaction (Pavot & Diener, 1993a). Therefore, while subjective measures do show high reliability with non-subjective measures, the non-self-report
Psychological Society of South Africa. All rights reserved. ISSN 0081-2463 South African Journal of Psychology, 39(4), pp. 391-406

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measures are useful in providing a more comprehensive account of well-being and life satisfaction. Assessing W ell-Being: The Collected W orks of Ed Diener (2009) provides an in-depth discussion of the construction, validity, and reliability of many of the well-being measures. The main applied goal of researchers who study subjective well-being is the improvement of peoples lives beyond the elimination of misery. Because subjective well-being is a key component of quality of life, its measurement is crucial to understanding how to improve peoples lives. In addition, a growing body of research shows that high levels of subjective well-being are beneficial to the effective functioning of societies beyond the advantages they bestow on individuals. BENEFITS OF W ELL-BEING Early research focused on the causes of well-being, but recently researchers have begun to focus on its consequences, and particularly on whether high levels of subjective well-being are beneficial to effective functioning, or alternately, whether they hamper success. A growing body of evidence suggests that high well-being and life satisfaction significantly improve life within the four areas of health and longevity, work and income, social relations, and societal benefits (see Diener & BiswasDiener, 2008; Lyubomirsky, King, & Diener, 2005 for a full review). Social relationships W hile high subjective well-being has been consistently correlated with high levels of sociality, evidence suggests that the causal arrow between these two variables moves in both directions. Individuals who have a greater number of friends and family members tend to have higher levels of subjective well-being; however, individuals who have higher well-being to begin with tend to have closer and more supportive social relationships than individuals with low baseline life satisfaction (Diener & Biswas-Diener, 2008). By examining peoples daily interactions and the effects of social bonds, it is clear that supportive relationships are a causal factor in high subjective well-being. Numerous studies show that the best part in peoples days are when they are involved in social interaction in general, people are simply happier when they are around other people (Kahneman & Krueger, 2006). M oreover, social bonds such as marriage can also increase subjective well-being as evidenced by the fact that married people experience, on average, higher levels of subjective well-being than non-married people (Lucas, Clark, Georgellis, & Diener, 2003). However, evidence showing that people with high subjective well-being tend to have higher levels of self-confidence, warmth, leadership ability, sociability, and more friends to begin with suggests the other side of the causal arrow people with high subjective well-being actually generate their own social support systems (Cunningham, 1988; Isen, 1987). One example of this phenomenon is the baseline difference between people who get married and divorced. W hile people with high life satisfaction prior to marriage are more likely than others to get married, stay married, and be happy in their marriages, people with low life satisfaction prior to marriage are far more likely to get divorced (Lucas, Clark, Georgellis, & Diener, 2003; Lucas, 2005). Work and income Another benefit of high subjective well-being lies in the fact that people who attain it are likely to earn more money than others, regardless of occupation (Diener, Nickerson, Lucas, & Sandvik, 2002), and are more likely to enjoy their work (see Lyubomirsky, King, & D iener, 2005 for review). Importantly, this result indicating that well-being causes economic and career success has been replicated in studies conducted in other parts of the world (Graham & Pettinato, 2002; Marks & Fleming, 1999). Continuing research also suggests that individuals who enjoy their work tend to have higher supervisor ratings (W right & Staw, 1999; Cropanzo & W right, 1999) and are judged as having more productivity, dependability, creativity, and overall higher work quality while on the job (Staw, Sutton, & Pelled, 1994). Moreover, happy workers also tend to have higher levels of organi-

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zational citizenship, which means they are more likely to do tasks not required by their job, such as helping co-workers (Donovan, 2000; Diener & Biswas-Diener, 2008). Health and longevity There are a number of studies that provide evidence that subjective well-being improves both health and longevity. In general, people who report high subjective well-being also report better health and fewer unpleasant physical symptoms (Roysamb et al., 2003). In a recent study where researchers infected participants with the common cold, those who reported higher levels of well-being were more resistant to the virus (Cohen et al., 2003). Danner, Snowdon, and Friesen (2001) also found that baseline subjective well-being predicted longevity for nuns living under identical environmental conditions, and Pressman & Cohen (2007) achieved a similar result in a study of autobiographies of psychologists. Furthermore, individuals with higher subjective well-being tend to have stronger immune systems and better cardiovascular health (i.e. fewer heart attacks and less artery blockage), to engage in healthier behaviours, such as wearing seatbelts and sunscreen, and to have fewer lifestyle diseases, such as addictions to alcohol or drugs (Diener & Biswas-Diener, 2008). Societal benefits of happiness Finally, high subjective well-being not only benefits individuals, but also benefits society as a whole. It is sometimes thought that people who seek happiness are selfish and irresponsible, engaging in activities for their own gain rather than for the betterment of their community. In actuality, those who seek high subjective well-being engage more frequently than people with low subjective well-being in altruistic, pro-social activities such as volunteering for community and charity groups (Tov & Diener, 2008, Thoits & Hewitt, 2001; Krueger, Hicks, & M cGue, 2001). Furthermore, of the people who do volunteer, people who report high subjective well-being tend to invest the most hours (Thoits & Hewitt, 2001). Moreover, people who experience high levels of well-being on average tend to have more trusting, co-operative, and pro-peace attitudes, more confidence in the government, stronger support for democracy, and lower levels of intolerance for immigrants and racial groups (Tov & Diener, 2008; Diener & Tov, 2007). Therefore, while well-being of citizenry may result from a structurally sound society, high levels of subjective well-being can contribute towards a more stable, productive, and effectively functioning society as well. Can people be too happy? One important caveat to the evidence which suggests that high well-being causes better functioning at the individual and societal levels is that it is not necessary for people to be euphorically happy all of the time in order to achieve a better life. In fact, reporting high subjective well-being too often may have negative effects on certain life domains. For example, people who experience the very highest levels of well-being are the most successful in terms of close relationships and volunteer work; however, those who experience slightly lower levels of well-being are the most successful in terms of income, education, and political participation (Oishi, Diener, & Lucas, 2007). In addition, constantly striving for higher levels of well-being could lead an individual to more risk-seeking and potentially dangerous behaviours such as illicit drug use and an abundance of sexual partners. Therefore, while it is important to recognize the benefits of high subjective well-being for individuals and societies, it is a mistake to think that constant euphoria is a desired outcome. THEORIES OF W ELL-BEING There are a variety of theoretical frameworks within which well-being is examined, ranging from biological theories concerned with the genetic predispositions for happiness to relative standards theories, which examine how comparing oneself to others influences perceived subjective well-being. Several of the more prominent theories are described below (see Diener, 1984; Kesebir & Diener, 2008 for reviews); however, a closer connection between theory and research is still needed in order to advance the field.

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Telic theories Telic theories of subjective well-being state that individuals achieve happiness when a certain endpoint, such as a goal or need, is reached. The point of contention within these theories is what that certain endpoint comprises. For example, philosophers in the past have questioned whether fulfillment of desires leads to well-being, or whether some desires are deleterious to well-being. Is it better to satisfy a short-term desire at the expense of long-term consequences, and what happens if an individuals desires are in conflict with each other? Others have asked whether moving towards a desire is actually more fulfilling than achieving the desired object itself. Need theories, such as Ryff and Singers (1996) concept of psychological well-being and Ryan and Decis (2000) Self-Determination Theory, suggest that there are certain inborn needs a person seeks to fulfill in order to achieve wellbeing. Related to these, goal theories suggest that people are consciously seeking certain goals, which, when fulfilled, result in high well-being (Emmons, 1986; Michalos, 1980). However, in goal theories, goals may arise from additional sources beyond inborn needs. Top-dow n versus bottom -up theories The debate between top-down and bottom-up theories of well-being has been important to the field. Bottom-up theories claim that the positive and negative moments which comprise a persons life are summed in order to produce that persons perceived subjective well-being. In this view, a positive or happy moment will cause a person to experience well-being, and the more positive moments a person experiences, the more their levels of well-being rise. In contrast, top-down theories claim that a persons inherent propensity to experience the world in a certain way will affect that persons interactions with the world. Therefore, according to top-down theories, a person with a more positive state of mind may experience or interpret a certain event as happier than a person with a more negative perspective might, making the positive attitude rather than the objective events the causal factor in well-being. There are two general debates in the field of subjective well-being concerning these two opposing theories. The first concerns whether well-being is defined as a trait or a state. Those who maintain well-being is a trait suggest that high well-being is a propensity to react positively rather than necessarily feeling happy. Others maintain that well-being is a state caused by a collection of happy moments. The second debate concerns the role of pleasant events in creating well-being. For example, does a lack of pleasant events lead to depression, or does depression lead to a failure to feel pleasure when engaged in normally pleasant events? Cognitive theories Related to top-down approaches, cognitive theories of well-being focus on the power of cognitive processes in determining individual well-being. The AIM Attention, Interpretation, and Memory model of well-being is one such cognitive theory, and suggests that individuals with high subjective well-being tend to focus their attention on positive stimuli, interpret events positively, and recall past events with a positive memory bias (see Diener & Biswas-Diener, 2008 for a review). In terms of attention, participants who are able to focus relatively more on positive stimuli compared to negative stimuli tend to fare better in overall levels of well-being. Perhaps more importantly, the ability to direct attention outward away from oneself is a significant predictor of well-being. Studies show that although people who ruminate tend to worry more and experience lower subjective wellbeing in general, directing attention inward can cause people who normally experience high wellbeing to experience significantly lower well-being. Furthermore, people with high subjective wellbeing have been shown to naturally interpret neutral and ambiguous events in a positive way. In this way, positive interpretation acts as a protective buffer. Finally, while dispositionally happy people have been shown to be no different in the amount of positive and negative events they experience, they tend to remember events as better than they actually were, engaging in a positive and protective memory bias.

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Evolutionary theories Recently emerging theories for the origins of well-being are evolutionary models, which suggest that feelings of pleasure and well-being are produced by that which aids humans in survival. The evolutionary value of negative emotions (e.g. fear, anger, and anxiety) that aided our ancestors in reacting to environmental threats has long been recognized. However, the adaptive advantages provided by well-being, and specifically the role of positive emotions as motivators that drive adaptive behaviour, are just now beginning to be understood. Fredricksons (1998) broaden and build theory is a relatively new evolutionary model, which proposes that positive feelings allow individuals to broaden their thought-action repertoires and consequentially build intellectual, psychological, social, and physical resources over time. Therefore, Fredrickson suggests that high subjective well-being and positive affect yield a state from which individuals can confidently explore their environment, approach new goals, and thereby gain important personal resources. In this way, well-being is not an epiphenomenon, as previously thought. Rather, like negative emotions, positive emotions have their own adaptive advantages that contributed to the evolutionary success of the species and continue to aid humankind in survival. Tem perament and personality A number of studies have confirmed the importance of temperament and personality in determining an individuals capacity for well-being. Research demonstrating that identical, or monozygotic, twins are considerably more similar to each other in well-being levels than fraternal, or dizygotic, twins has shown the importance of genetic inheritance (Lykken & Tellegen, 1996; Tellegen et al., 1988), as have studies demonstrating the stability of subjective well-being levels longitudinally (Costa & McCrae, 1988; Magnus & Diener, 1991). Among different personality traits, extroversion and neuroticism have been shown to be the most consistently and strongly related to well-being (Diener & Lucas, 1999; Rusting & Larsen, 1997). Extraversion has been shown to predict positive affect (Lucas & Fujita, 2000), while negative affect is strongly predicted by neuroticism (Fujita, 1991). Moreover, studies across nations show that extroverts everywhere tend to experience a higher number of positive feelings and experience them more intensely than introverts (Diener & Biswas-Diener, 2008). Therefore, while the environment plays a role in the expression of genetics, it is clear that heritable traits have a substantial effect on the well-being levels of individuals. Relative standards Relative standards theories maintain that well-being results from a comparison between some standard, such as ones past, others, goals, or ideals, and the actual conditions. According to social comparison theory, one uses other people as the standard, which means that a person will experience higher well-being if they are better off than others (Carp & Carp, 1982; Michalos, 1980). For example, Easterlin (1974) suggested that the amount of income that will satisfy people depends on the income of others in their society. In addition, Emmons, Larson, Levine, and Diener (1983) found that social comparison was the strongest predictor of satisfaction in many domains. In other theories, such as Brickman, Coates, and Janoff-Bulmans (1978) adaptation theory, an individuals past is the standard for comparison. For example, if an individuals current life exceeds their past standard, they will be content. However, adaptation theory also proposes that the power of events to evoke emotions decreases over time. For example, if a person experiences a positive event such as a promotion, adaptation theory suggests that this person will experience a spike in well-being due to the promotion being above their previous standard. However, as time proceeds, adaptation theory postulates that the promotion becomes a new standard, thereby losing its power to evoke feelings of well-being in the individual (Brickman & Campbell, 1971). In this way, individuals are constrained by what is called the hedonic treadmill, which describes the process by which recent changes in life circumstances increase an individuals subjective well-being temporarily before the individuals standard eventually acclimates to the new conditions. Thus, according to

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adaptation theory, events and circumstances matter only in the short-term, temperament being the major long-term influence on well-being. Support for this theory comes from studies which report that the handicapped are no less satisfied than controls (Feinman, 1978), and spinal cord injury victims experience a steep drop in well-being after the accident, followed by a rapid rise approaching their previous levels (W ortman & Silver, 1982). Importantly, the stronger forms of these hedonic treadmill adaptation theories have now been disproved (Diener, Lucas, & Scollon, 2006). The staggering differences between national levels of well-being alone reveal that humans do not adapt to everything they experience; in actuality, nations differ substantially not only in life satisfaction and judgments, but also dramatically for both positive and negative feelings (Diener, Kahneman, & Helliwell, 2009). However, there is validity to more nuanced theories of adaptation, as evident by studies on bereavement, marriage, and divorce. Bereavement studies show that the death of a spouse causes a sharp decline in life satisfaction for widows, which can require up to seven years to overcome (Diener & Biswas-Diener, 2008). Studies on marriage and divorce show that people often recover from negative life events and are able to experience feelings of well-being after extremely positive events (Lucas, Clark, Georgellis, & Diener, 2003). These and other studies show that an individuals happiness set-point can change so that people can experience well-being after positive events like marriage, and can recover from negative life-altering events such as the death of a spouse (Diener & Biswas-Diener, 2008). Some new studies provide evidence that repeated events, rather than causing adaptation, can actually have the opposite effect, causing sensitization (Luhmann & Eid, in press). Moreover, there are distinct cultural differences in adaptation (Oishi et al ., 2007), and there is also evidence that adaptation can be different for different types of experiences, specifically consumption versus acquisition (Hsee, Yang, Li, & Shen, 2009). W hile we have made progress in terms of what we understand about the human capacity for adaptation, much more research is needed in order to gain a more comprehensive understanding. DEM OGRAPHICS AND W ELL-BEING The correlations between subjective well-being and a number of demographic variables have been studied extensively, and the results of these studies are provided below. However, an important next step in well-being research is the more precise pinpointing of causal rather than correlational factors. For example, with many of the variables below such as social relationships, the causal relationship is indeterminate well-being is caused by having many friends, but individuals with high well-being are better at making friends in the first place. Therefore, a future direction for research lies in longitudinal studies which can tease apart correlational versus causal factors. Gender The relative well-being levels between the genders have frequently been examined, but the wellbeing data gathered thus far indicate that women and men do not substantially differ in terms of average subjective well-being. W hile women appear more frequently in samples of both the extremely happy and extremely unhappy, evidence suggests that this over-representation is due to the fact that women experience positive and negative emotions more frequently and more intensely than men. In fact, Fujita, Diener, and Sandvik (1991) showed that while gender accounts for less than 1% of the variance in well-being, it accounts for over 13% of the variance in the intensity of emotional experiences. Therefore, while men and women show little comparative difference in average subjective well-being, more women than men live at the extreme ends of well-being scales (Diener, Suh, Lucas, & Smith, 1999). Education There exists in popular belief an inverse relationship between intelligence, or education, and the

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ability to lead a satisfying life. Gustave Flaubert best enunciated this sentiment through his popular statement: To be stupid, selfish, and have good health are three requirements for happiness, though if stupidity is lacking, all is lost. However, the ignorance is bliss aphorism is invalidated by a number of studies, which show a positive (albeit weak) correlation between ones level of education and well-being, after controlling for other variables, explaining only 13% of the variance in wellbeing (W itter, Okun, Stock, & Haring, 1984). Moreover, the link between intelligence as measured by IQ tests and subjective well-being seems to be virtually non-existent; however, emotional intelligence has consistently been linked to high well-being (Furnham & Petrides, 2003; Schutte et al., 2002). Age The typical association of the elderly with the characteristics of crotchety, quarrelsome, and unhappy with life have been proven false by a number of studies. W hile early assessments of well-being in relation to age suggested that youth is a strongly consistent predictor of well-being (W ilson, 1967; Bradburn & Caplovitz, 1965; Gurin, Veroff, & Feld, 1960; Kuhlen, 1948; W essman, 1957), contemporary studies show that life satisfaction usually increases, or at least does not decrease, with age (Herzog & Rodgers, 1981; Horley & Lavery, 1995; Larson, 1978; Stock, Okun, Haring, & W itter, 1983). Moreover, Mroczek and Spiro (2005) found that although there were significant individual differences, life satisfaction actually increased from age 40 to 65, before declining only close to impending death. In terms of well-being, longitudinal and cross-sectional data show that positive affect slightly decreases with old age, and yet so does negative affect (Charles, Reynolds, & Gatz, 2001; Mroczek & Spiro, 2005). Importantly, when examined internationally, there is no consistent relationship between age and subjective well-being; however, there is a tendency for life satisfaction to decline much more rapidly with age in poorer countries than in rich ones (Deaton, 2008). Therefore, while much more research is needed in this area, it is clear that old age is not necessarily a harbinger of unhappiness. Religion The relation between religiosity or spirituality and well-being is a paradoxical one. In general, religious people tend to experience higher well-being, and more specifically, participation in religious services, strength of religious affiliation, relationship with God, and prayer have all been associated with higher well-being levels (Ferriss, 2002; Poloma & Pendleton, 1990; W itter, Stock, Okun, & Haring, 1985). On a national level, higher levels of religiosity have been linked to higher life satisfaction and lower suicide rates (Diener & Seligman, 2004; Helliwell, 2007). The positive link between high well-being and religiosity is thought to originate from a sense of meaning and purpose and from the social networks and support systems created by churches and other institutions of organized religion. However, intrinsic rather than extrinsic motivation towards religion is an important factor in the positivity of the link (Ardelt, 2003; Ardelt & Koenig, 2007), and the strength of this link seems to be stronger for certain groups of people, specifically women, African Americans, and the elderly as opposed to Europeans (Argyle, 1999). Moreover, ongoing research reveals that some of the nations with the highest levels of well-being are not very religious, whereas some of the most religious nations report very low levels of well-being. M arriage, divorce, and social relationships The number and quality of social relationships a person has are highly confirmed correlates and antecedents of high subjective well-being (see Diener & Biswas Diener, 2008 for review). In general, people are simply happier when they are around other people, social interactions being among the most enjoyable points in the day (Kahneman & Krueger, 2006). People tend to express more positive affect when they are with others (Diener & Biswas-Diener, 2008). Furthermore, while perceived loneliness is strongly linked to depression (Anderson & Arnoult, 1985), social interaction not

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only increases well-being levels but also acts as a buffer to such major life stresses as bereavement, rape, and unemployment (Myers, 1999). Subjective well-being increases through social bonding such as marriage, and other strong social relationships can also be very fulfilling (Helliwell, Barrington-Leigh, Harris, & Huang, 2009). Married people typically experience higher subjective well-being than non-married people according to large representative samples (Glenn, 1975; Lee, Seccombe, & Shehan, 1991) and longitudinal studies (Lucas, Clark, Georgellis, & Diener, 2003); however, data show that people quickly adapt to marriage and return to their baseline levels of well-being (Lucas, Clark, Georgellis, & Diener, 2003). One explanation which may concomitantly account for the relatively low impact of marriage and the higher average levels of well-being of married people is that people who tend to get married have high life satisfaction prior to marriage. Consequentially, this group of people is far most likely not only to marry in the first place, but also to stay married and experience their marriage positively. Predictably, as married people tend to show higher levels of well-being on average, divorced people show lower levels of well-being on average (Lucas, 2005). As Lucas (2005) has shown, divorce generally causes a decline in subjective well-being prior to the divorce, and divorcees do not rebound back to baseline levels of satisfaction over time. In this way, the event of divorce seems to affect subjective well-being more than the event of marriage; however, pre-existing differences in well-being levels may also account for the causal relationship between divorce and well-being, as divorced people generally show lower levels of satisfaction prior to marriage (Lucas, 2005). Diener, Gohm, Suh, and Oishi (2000) found that the relation between marital status and subjective well-being is very similar around the world despite small variations due to cultural variables. For example, the benefit of marriage over cohabitation for life satisfaction seems greater in collectivist rather than individualist nations, and in terms of positive emotions, the benefit of being married over divorced or separated is smaller in collectivist than individualist nations (Diener, Gohm, Suh, & Oishi, 2000). Finally, in terms of negative emotions, the benefit of being married over being divorced or separated is smaller in nations with high divorce tolerance (Diener, Gohm, Suh, & Oishi, 2000). Therefore, while small variations exist from country to country, it is clear that the general trends for marriage, divorce, and their relation to well-being are consistent across the globe. Unemployment Unemployment has been shown to have a consistent and unequivocally negative impact on subjective well-being (Clark, 2009). Clark (2009) showed that people do not adapt to unemployment the way the hedonic treadmill theory might suggest (for men especially, the third year of unemployment is just as difficult as the first), and this finding is confirmed by other studies that suggest that while individuals do recover somewhat after the initial strong reaction to unemployment, they never return to their former baseline levels of satisfaction, even after re-employment (Lucas, Clark, Georgellis, & Diener, 2004). Importantly, these results indicate that even a short period of unemployment can cause a permanent alteration in a persons long-term happiness set-point. However, comparison effects may alleviate some of the decline in subjective well-being associated with unemployment, as evidenced by the fact that living in an economically depressed area where unemployment levels are high for everyone significantly increases the well-being of unemployed individuals (Clark, 2009). Incom e Overall, the research on the relation between income and well-being reveals that money has a positive, yet diminishing, effect as it grows in size. W hile increased income significantly affects wellbeing for those living at the poverty level or in underdeveloped nations, the strength of the link between wealth and life satisfaction decreases at higher levels of income, showing what economists call declining marginal utility (Diener, Ng, & Tov, 2009; Frey & Stutzer, 2002). This effect has been shown in a variety of studies, one showing that the wealthiest Americans experience only slightly higher subjective well-being than the average American, and that 37% of these wealthy

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individuals actually experience lower subjective well-being than the average American (Diener, Horowitz, & Emmons, 1985). Moreover, people who are heavily invested in the importance of money and material possessions tend to feel less satisfied with their lives and experience less positive affect and more negative affect (Kasser & Kanner, 2004). In studies examining income differences between nations using the Gallup W orld Poll, the income of nations is a strong predictor of satisfaction with life (Diener, Kahneman, Tov, & Arora, 2009; Inglehart, 2009), but importantly, recent studies show there are other factors which predict emotional well-being to a better extent than income (Diener & Ryan, in press). Specifically, wellbeing can be divided into three types of capital: 1. Monetary: how much money the country earns on average and how well this income satisfies the basic needs of citizens. 2. Social: whether citizens can count on others, how frequently they have experienced violence, and the level of government corruption and societal trust. 3. Psychological: whether people feel free, learn new things, and are able to do what they enjoy on a daily basis. Importantly, the level of the latter two types of capital, social and psychological, best predicts the emotional well-being of nations (Diener & Ryan, in press). Thus, while national income does tend to improve well-being scores, several other factors influence the well-being of citizens. CULTURE AND W ELL-BEING A growing body of research has shown that while most people across nations report relatively high subjective well-being, there are distinct differences in the subjective well-being between nations that can be explained to some extent by the effects of culture. Diener and Diener (1996) found that within industrialized societies, most people score above neutral in surveys of well-being. However, international surveys of well-being reveal significant differences in subjective well-being levels (see Diener & Suh, 2000 for a review), which can be explained to some extent by the level of economic development of the countries surveyed. It is not coincidental that some of the nations who report the lowest levels of well-being are also the poorest and least industrialized. However, research also shows that people do not report higher well-being in industrial societies simply because their basic needs are met. For example, Biswas-Diener, Vitterso, and Diener (2005) found that the Maasai, Amish, and Inughuit cultures showed above average levels of subjective well-being despite their relatively impoverished living conditions. This finding is consistent with evidence that those living in slum housing, sex workers, and homeless pavement dwellers in Calcutta show life satisfaction only slightly below neutral (Biswas-Diener & Diener, 2001). Interestingly, while poverty seems not to be as devastating to life satisfaction as previously thought, there does seem to be some variation in the effects of poverty, which is caused by culture. For example, BiswasDiener and Diener (2006) found that well-being in the homeless is predictably low; however, pavement dwellers in Calcutta show higher levels of life satisfaction than homeless groups in the United States, despite the better access to food, clean water, medical care, opportunities for employment, and adequate shelter available in the United States. In addition, low-income respondents in the United States report higher negative affect and lower life satisfaction than their counterparts in Denmark (Biswas-Diener, Vitterso, & Diener, 2008). There are some universal factors, such as democratic governance, human rights, and longevity, which seem to be related to high subjective well-being levels throughout different cultures (Diener, Diener, & Diener, 1995). However, cultural differences do exist, as evident by the fact that selfesteem is a strong predictor of subjective well-being in individualistic cultures, but not in collectivist cultures (Diener & Diener, 1995). Moreover, there is also a substantial difference in which emotions are valued across cultures and to what extent emotional arousal is desired. For example, Eid and Diener (2001) found that guilt is of greater importance in collectivist cultures, whereas pride is more valued in individualistic cultures. In addition, Tsai, Knutson, and Fung (2006) found that Asian-

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Americans and Chinese participants value low arousal positive affect (calmness) more so than European-Americans, whereas European-Americans and Asian-Americans value high arousal positive affect (excitement) more than Chinese participants. INTERVENTIONS TO INCREASE W ELL-BEING A wide variety of interventions that have been developed to increase well-being are based in part on pre-existing cognitive behavioural therapies for depression. Strategies such as Rational Emotive Behavioral Therapy (previously called Rational Emotive Therapy) (Ellis, 1962) suggest that low subjective well-being is caused by activating experiences such as family problems, difficulties at work, and trauma as well as by irrational and self-defeating beliefs. W hile activating experiences do cause disturbances in well-being, Ellis argues that irrational belief systems actually cause long-term negative consequences such as anger, panic, and depression. Becks Cognitive Behavioral Therapy (1979) is an intervention closely related to Elliss and stresses the importance of correcting an individuals cognitive errors about oneself and ones environment, such as over-generalization, minimization of positives, and maximization of negatives, in order to instill a more realistic and functional cognitive model. Certain contemporary subjective well-being interventions are based on the idea of mixing positive thinking and activity theories, such as Csikszentmihalys (1990) theory on the importance of the heightened interest and flow, produced by paratelic activities. W hile individuals engage in telic activities in order to accomplish a goal, such as working to make money, paratelic activities are engaged in due to the inherent value they provide. Importantly, participation in paratelic activities has been shown to have several positive effects on well-being and can be used as a therapeutic tool. One example of an intervention that utilizes both activity theory and positive thinking theories is Frischs (2006) Quality of Life Therapy. Strategies created by Lyubomirsky (2007) and Seligman, Rashid, and Parks (2006) echo this focus on improving primary life areas using positive thinking and by spending time in enjoyable activities. Other interventions focus on the effects of positive psychology, such as gratitude (Emmons & McCullough, 2004), compassion, forgiveness, and spirituality. W ithin positive psychology, interventions are still in the early stages of development, while interventions that address negative affect, depression, and general unhappiness have a long and deep history. Therefore, while there are many interventions currently in existence, more interventions are needed. Further research is required in order to pinpoint which intervention methods work best, and there is also a need for research into culturally sensitive interventions that can be used by a variety of cultures across the globe. W ELL-BEING ACCOUNTS FOR PUBLIC POLICY W e suggest that complementing national measures of well-being should be used alongside economic and social indicators in order to guide public policy. W hile economic indicators, such as gross domestic product (GDP), and social indicators, such as crime or literacy rates, monitor important areas affecting the welfare of a nation and its individual citizens, these indicators do not provide a comprehensive view of quality of life within nations (see Diener & Seligman, 2004; Diener, Lucas, Schimmack, & Helliwell, 2009, for a review). In order to remedy the exclusion of several important variables which determine quality of life, we suggest utilizing national accounts of well-being to monitor well-being within nations, with a view to increasing well-being and improving societal conditions. W ell-being within societies should not only be measured because it will provide policy makers with more information about the lives of their citizens, but also because subjective well-being has become increasingly more important to citizens in the post-materialistic era. Individuals now rank happiness as their most important life goal (Diener & O ishi, 2004), and yet, there is no current measure used on a national scale that measures societal progress in providing conditions amenable to increased subjective well-being. W hile economic measures were crucial when nations did not

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possess all the basic goods and services necessary to satisfy the needs of their populace, most people living in modern industrialized societies today have the luxury of seeking a fulfilling life rather than mere economic sustenance. This shift in focus from what Inglehart (1981) and others have called materialist to post-materialist values has resulted in a new set of desires for citizens, and more importantly, a set of goals which are not measured directly by income, GDP, and other economic and social indicators. For an in depth discussion of national measures of well-being, see Well-Being for Public Policy (Diener, Lucas, Schimmack, & Helliwell, 2009). FUTURE RESEARCH W hile the data reviewed in this paper reveal important evidence on the causes and effects of subjective well-being, much research is still needed for a more comprehensive view on how well-being functions in societies. One area that deserves more attention is the outcome of well-being in a cultural context namely, what results ensue in different societies when people experience low or high subjective well-being. More research is also needed on the connection between subjective well-being and other forms of well-being, such as Ryff and Singers (1996) psychological well-being and Ryan and Decis (2000) psychological needs. M oreover, research into the relation between the virtues or character strengths proposed by Peterson and Seligman (2004) and well-being could provide important insights into what inherent qualities within individuals provide the most potential for well-being. Studies examining the efficacy of well-being interventions would also prove extremely useful. Because the study of interventions is a relatively new field, many questions still exist as to the outcomes of these therapies. Finally, the field of subjective well-being would benefit from a reduction in studies consisting only of self-report measures which all correlate at one point in time. More longitudinal work is required with other forms of assessment in addition to self-report, such as informant reports (see Diener et al., 2009 for a review of measures). W hile researchers have made great strides in understanding subjective well-being on individual, societal, and international levels, there is much more to learn and much that can be done to improve the well-being of people around the world. REFERENCES Anderson, C.A., & Arnoult, L.H. (1985). Attributional style and everyday problems in living: Depression, loneliness, and shyness. Social Cognition, 3, 16-35. Ardelt, M. (2003). Effects of religion and purpose in life on elders subjective well-being and attitudes towards death. Journal of Religious Gerontology, 14, 55-77. Ardelt, M., & Koenig, C.S. (2007). The importance of religious orientation in dying well: Evidence from three case studies. Journal of Religion, Spirituality, and Aging, 19, 61-79. Argyle, M. (1999). Causes and correlates of happiness. In D. Kahneman, E. Diener, & N. Schwarz (Eds), Well-being: The foundations of hedonic psychology (pp. 373-553). New York: Russell Sage Foundation. Beck, A.T. (1979). Cognitive therapy of depression. New York: Guilford. Biswas-Diener, R., & Diener, E. (2001). Making the best of a bad situation: Satisfaction in the slums of Calcutta. Social Indicators Research, 55, 329-352. Biswas-Diener, R., & Diener, E. (2006). The subjective well-being of the homeless, and lessons for happiness. Social Indicators Research, 76, 185-205. Biswas-Diener, R., Vitterso, J., & Diener, E. (2005). Most people are pretty happy, but there is cultural variation: The Inughuit, the Amish, and the Maasai. Journal of Happiness Studies, 6, 205-226. Biswas-Diener, R., Vitterso, J., & Diener, E. (2008). The Danish effect: Beginning to explore high well-being in Denmark. Manuscript submitted. Bradburn, N.M., & Caplovitz, D. (1965). Reports of happiness. Chicago: Aldine. Brickman, P., & Campbell, D.T. (1971). Hedonic relativism and planning the good society. In M.H. Appley (Ed.), Adaptation level theory: A symposium (pp. 287-302). New York: Academic Press. Brickman, P., Coates, D., & Janoff-Bulman, R. (1978). Lottery winners and accident victims: Is happiness relative? Journal of Personality and Social Psychology, 36, 917-927.

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