. -- Happiness ; life satisfaction ; income ; disutility of labor …We reexamine the claim that the effect of income on subjective well-being suffers from a systematic downward bias if … one ignores that higher income is typically associated with more work effort. We analyze this claim using German panel …

economic concept of utility maximisation. The analysis highlights a conflict between what economic theory predicts - more … disposable income and a gain of leisure time - and the psychological (and cultural) notion of the lonely, sad empty nester. This … conflict is an empirical question and here it is resolved via an assessment of the change in life satisfaction that is reported …