In normative public economics it is crucial to know how fast the marginal utility of income declines as income … inequality. We estimate this parameter using four large cross-sectional surveys of subjective happiness and two panel surveys …, using a number of assumptions, we are able to estimate the elasticity of marginal utility with respect to income. We obtain …

It is commonly claimed in the recent happiness literature in psychology and economics that we have proved diminishing … marginal utility of income. This paper suggests that we have not. It draws a distinction between concavity of the utility … function and concavity of the reporting function. -- happiness ; money ; marginal utility ; curvature ; concave …

In normative public economics it is crucial to know how fast the marginal utility of income declines as income … inequality. We estimate this parameter using four large cross-sectional surveys of subjective happiness and two panel surveys …, using a number of assumptions, we are able to estimate the elasticity of marginal utility with respect to income. We obtain …

It is commonly claimed in the recent happiness literature in psychology and economics that we have proved diminishing … marginal utility of income. This paper suggests that we have not. It draws a distinction between concavity of the utility …