The Well‐Being Cost of Inflation Inequalities

Prati, Alberto

doi:10.1111/roiw.12631

Cited by 9 publications

(3 citation statements)

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“…Since then, more and more people have analyzed the impact of factors such as social capital, inequality, life expectancy, democratic governance, working hours, inflation, and unemployment on individual subjective well-being. It turns out that income growth can increase individual happiness, but it also leads to potential factors that may reduce the utility of income growth [22][23][24][25][26].…”

Section: External Social Mechanismsmentioning

confidence: 99%

A Literature Review on the Explanations and Theories of the Easterlin Paradox

Zheng,

Yang,

Zou

et al. 2024

CHR

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This article is a literature review of the explanations and theories of the Easterlin paradox. The Easterlin paradox had been well researched in multiple interpretation paths, focusing on either the micro or macro level of the paradox. However, it has not been able to provide a perfect explanation for the paradox so that policies can be formulated and implemented. To facilitate future research, the past and latest research on theories of the Easterlin paradox will be organized and criticized. It will be shown that theories of direct and indirect mental mechanisms had their main problem with single factor analysis, while theories of external social mechanisms lacked dynamic analysis. This synthesis of current research will be helpful for further research on the real causes and solutions of the Easterlin paradox.

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Section: External Social Mechanismsmentioning

confidence: 99%

A Literature Review on the Explanations and Theories of the Easterlin Paradox

Zheng,

Yang,

Zou

et al. 2024

CHR

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“…Several studies have found higher effective inflation levels among lower-income households in European countries (Gürer and Weichenrieder, 2020 [46]), Australia (Kints and Breunig, 2020 [47]) and the United States (US) (Argente and Lee, 2020 [48]; Klick and Stockburger, 2021 [49]). Possible drivers include limited access to bulk discounts and temporary sales (Orhun and Palazzolo, 2019 [50]), consumption of items that are less exposed to product innovation (Jaravel, 2018[51]), and reduced ability to substitute lower-quality products or change shopping behaviour (Argente and Lee, 2020 [48]).…”

Section: Figure 33 Consumption Patterns Vary By Income and Population...mentioning

confidence: 99%

The uneven impact of high inflation

2023

OECD Papers on Well-Being and Inequalities

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The OECD Papers on Well-being and Inequalities Series -managed by the OECD Centre on Well-being, Inclusion, Sustainability and Equal Opportunity (WISE) -features Working Papers on the measurement agenda for well-being, inclusion, sustainability and equal opportunity as well as papers seeking to deepen the understanding of the drivers of these issues, the ways in which they interact and how they evolve. These papers are prepared by OECD staff, external experts or by outside consultants working on OECD projects. This Working Paper should not be reported as representing the official views of the OECD or of its Member countries or of the European Union or its Member States. The opinions expressed and arguments employed are those of the authors.Working Papers describe preliminary results or research in progress by the authors and are published to stimulate discussion on a broad range of issues on which the OECD works. Comments on this Working Paper are welcomed, and may be sent to the OECD Centre on Well-Being, Inclusion, Sustainability and Equal Opportunity, email

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“…Individuals spending a higher fraction of their income on items whose prices increase more suffer a higher welfare loss. This is con rmed in Prati (2023), who uses survey data on French households to nd that own-speci c perceived in ation rates, which track well the actual in ation rate for each individual, help predict well-being differences among consumers. Moreover, even for constant consumption basket composition, the in ationary shock…”

mentioning

confidence: 92%