Di Tella, Rafael; New, John Haisken-De; MacCulloch, Robert - National Bureau of Economic Research (NBER) - 2007
We study "habituation" to income and to status using individual panel data on the happiness of 7,812 people living in Germany from 1984 to 2000. Specifically, we estimate a "happiness equation" defined over several lags of income and status and compare the long run effects. We can (cannot)...
