Is Living in Mwanza Region More Economically Better and Happier than Living in Kagera Region? Finite Mixture (FIMIX) Approach

Abstract

The study aimed to uncover the unobserved heterogeneity of the population in Mwanza and Kagera regions. The study examined if living in Mwanza region is more economically better and happier than living in Kagera region. The cross-sectional survey research used with the cross-sectional data from 211 individuals sampled randomly from 4 districts, Nyamagana and Misungwi from Mwanza region, and Bukoba and Muleba from Kagera region. The FIMIX-PLS used to analyse the data. The study found that the population of Mwanza and Kagera regions can be grouped into two mains classes which are class one with a lower annualised income below 1.5 TZS millions per capita and a lower mean score of fundamental psychological factors for happiness (FPFH) in comparing to the class two. The class two is characterised with a higher annualised income about 2.45 TZS millions per capita and a higher mean score of FPFH in comparing to class one. The study evidenced that respondents of Mwanza region have a higher annualised income and FPFH scores than respondents of Kagera region in each class. Therefore, the study concluded that living in Mwanza region is more economically better and happier than living in Kagera region. The study recommended the immigration to seek the economic opportunity and happiness, for example immigration from Kagera region to Mwanza region or nation to nation is encouraged. Moreover, further study recommended by using a panel data to attest the posed facts because this study limited to the cross-sectional data.

Hidden Demographics Barriers of the Economic Growth: A Psychometric Approach

“…To answer this general question, we need to develop a psychological scale (psychometric) of the demographic factors. Therefore, this study applied the psychological demographic scale developed by Bundala (2020) and Bundala, Ngaruko, and Lyanga (2021). This scale captures the subjective well-being of an individual"s current age, level and source of income, education level, number of family members, and marital status.…”

“…This phenomenon necessitates a researcher to go further beyond the determination of economic-based determinants of economic growth; hence, examined the non-economic-based determinants of economic growth. This study involved the non-economic variables that are psychological demographic factors as suggested by several studies that influence economic growth (Stevenson and Wolfer, 2008;Roka, 2020;Bundala, et al 2021;Diener and Seligman, 2004). The study took a study sample from the Kagera and Mwanza regions which are characterised by the higher economic performance disparities in the Lake Victoria economic zone (URT, 2019a;2019b;2019c).…”

“…Where n is the number of variables measured in a psychological factor; m is the number of questions that measure or is a proxy for variable; a question posed for variable i; the score of an individual question on the Likert Scale, and is the maximum score of individual questions on the Likert Scale (Bundala, 2020;Bundala, Ngaruko, and Lyanga, 2021)…”

Psychological Determinants of Economic Growth

“…Despite the endless efforts on strengthening the economic growth in Tanzania, the economy is still unpredictable, unreliably, and unevenly growing. The growth was averaged at 6.3 percent conditioned equality" of psychological well-being of the individuals in the society would lead to unevenly and unpredictable economic growth as the psychological factors (well-being) are evidenced to be distributed unevenly across countries in the world (Bundala, 2020;Bundala, Ngaruko, and Lyanga, 2021;Jokela, Bleidorn, Lamb, ..., Rentfrow, 2015;Rentfrow, Gosling, and Potter, 2008;Talhelm, Zhang, Oishi, ..., Kitayama, 2014). Reasonably, both the theoretical and empirical grounds support the consideration of the psychological well-being of the individual in economic planning.…”