He who is not satisfied with a little is satisfied with nothing.
Epicurus, Greek philosopher
(341 BC – 270 BC)
Pursuit of individual self-interest is not necessarily a good formula for personal happiness.
Richard Layard, British economist (1934 AD - present)
Pursuit of individual self-interest is not necessarily a good formula for personal happiness.
Richard Layard, British economist (1934 AD - present)
Introduction
We live, to say the least, in
an age of stark contradictions. Whilst the world enjoys the wonders of
technology, over one billion people live in hunger each day. The world economy has
developed new heights of productivity, yet the natural environment is degraded
in the process. National income levels have risen yet so have social harms and
health hazards from obesity, declining literacy and numeracy standards, teenage
pregnancies, substance abuse and addiction, suicide, anorexia, diabetes, cardiovascular
diseases, cancer, depression and other ills. Indeed, many of the developed
nations with the highest levels of Gross Domestic Product (GDP), such as the
United States, have achieved striking economic and technological progress over
the past half century without gains in the self-reported happiness and social wellbeing
of their citizenries but with widening socioeconomic inequalities, declining
levels of trust and apathy to government. Economists and policymakers, both
from the left and the right, have placed priority in utilising GDP as a means
to measure social progress and yet rates of life satisfaction and subjective
happiness have stagnated or even decreased since the 1950s according to a number of data, including from Gallup World Poll and the World Values Survey. This article will look at why measures of happiness
should be prioritised as a policy and index by governments around the world for
achieving and measuring social progress.
From Epicurus to Easterlin
Ever since the invention of
agriculture which bequeathed opportunities for private property, wealth generation
and fiscal improvement, humans have studied that causal relationship between
financial income and personal happiness. Indeed the Greek philosopher of Epicurus
stated that pleasure is the greatest good and that pain is the greatest evil
and combined a theoretical hedonism with a practical asceticism. He stressed frugal
life of pleasure, as the mere absence of pain is the greatest good, through
achieving three fundamental tenets of friendship and love, self-analysis, and
self-sufficiency being the key to the gate into wellbeing. He suggested that wealth
is important for attaining various rudimentary needs, such as water and food
and basic wants, but wealth for its own sake or wealth past the requirements to
afford comfort is unnecessary. Rather we should focus on our friends and relationships,
on self-reflection and philosophy, and on achieving self-sufficiency or merit
in a chosen a subject or activity. Indeed “wealth beyond what is necessary is
no more use than an overflowing container” is an apt statement whereby GDP past
what is necessary for a developed economy is akin to an overflowing container. A
simple meal and the company of friends in a modest garden is suffice for Epicurus
and he tells us this should be and is suffice for our happiness too.
From the wellspring of the Enlightenment
came the school of Utilitarianism as first developed by British philosopher Jeremy
Bentham (1748 AD – 1832 AD), influenced amongst others by David Hume’s Treatise
of Human Nature. For Bentham utility is the test and measure of all virtue and
the sole origin of justice and that the greatest happiness of the greatest number
is the foundation of morality. In Utilitarianism, it is the greatest happiness
in society that is the criterion by which the affairs of a state should be judged.
The Felicific Calculus was an algorithm developed by Bentham to calculate the
specific degree of pleasure accrued by a certain action. This calculus and the
entire An Introduction to the Principles of Morals and Legislation can be synthesized
by his own mnemonic doggerel:
Intense,
long, certain, speedy, fruitful, pure–
Such marks
in pleasures and in pains endure.
Such
pleasures seek if private be thy end:
If it be
public, wide let them extend
Such pains
avoid, whichever be thy view:
If pains
must come, let them extend to few.
Bentham can be seen as a
foundational figure when it comes to studying and measuring happiness and the
role of government in promoting it. If we agree that the normative role of
government is to increase utility and promote the greatest happiness in
society, than utilising GDP is a flawed manner in doing so.
In 1974, Richard Easterlin, a Professor of Economics
at the University of Southern California, published a revolutionary paper entitled
“Does
Economic Growth Improve the Human Lot? Some Empirical Evidence” which
established an essential paradox in economics. Easterlin discovered, through quantitative
analysis of economic and social trends of developed and developing nations, that
past a certain amount of income for an individual and past a certain GDP for a
nation, subjective levels of happiness and social wellbeing do not increase and
indeed sometimes decrease. In 2010, Easterlin returned to the paradox and published his findings
in the Proceedings of the National Academy of Science. In it Easterlin utilised
long term surveys from 17 developed countries, 11 countries transitioning from
socialism to capitalism, and 9 developing countries to firmly re-establish the happiness–income
relationship, come to be known as the Easterlin paradox, that over time a
higher rate of economic growth does not result in a greater increase of
happiness.
Bhutan and the United Nations
The concept of Gross National Happiness (GNH)
was developed in 1972 by the King of Bhutan Jigme Singye Wangchuck who opened
Bhutan to modernisation but was committed to developing the national economy
based on Buddhist spiritual principles. The Centre for Bhutan Studies, along
with various academics from around the world, then began to develop both
objective quantitative and subjective qualitative indicators for GNH culminating
on a measurement based upon a robust multidimensional methodology known as the Alkire-Foster
method. In 1990 the Human
Development Index was established by the United Nations Development
Programme and was used as the yardstick of measuring socioeconomic progress. It
was established in response to the flaws of GDP being a holistic measure of progress
and incorporated the measures of Life Expectancy Index, Education Index, Mean
Years of Schooling Index, Expected Years of Schooling Index, and Gross National
Income. However, HDI is also not a true measure of utility as it misses the
important indicators of mental health, sustainability and environmental
conservation. In July 2011 Resolution 65/309 was proposed by the Kingdom of
Bhutan advocating for GNH as the primary measure of progress and was unanimously passed by the United Nations General Assembly. In
April 2012 the High Level Meeting on Wellbeing and Happiness: Defining a New Economic Paradigm was
held at United Nations Headquarters in New York hosted by Bhutan discussing the
value of utilising GNH as a measure for social progress.
“We buy
things we don't need, with money we don’t have, to impress people we don’t like”
In 2005 the Australian economists Hamilton and Denniss
developed the concept of affluenza defined as:
1. The bloated, sluggish and unfulfilled feeling that
results from efforts to keep up with the Joneses.
2. An epidemic of stress, overwork, waste and debt caused
by the pursuit of the increased income.
3. An unsustainable addiction to economic growth.
At the crux of affluenza is that despite some of the highest
levels of affluence in wealth, happiness has not increased, and rather the
ideals of consumerism and materialism have led to a number of social harms. As Hamilton
and Denniss state “above a certain level, increases in income have little or no
effect on well-being, yet the single-minded pursuit of growth may come at the
cost of personal relationships, social equality and cohesion, job security and
the quality of the environment, all of which do add to personal and national happiness.” Indeed, affluenza reaffirms the Easterlin paradox and presents tangible
harms that exist in society due to it.
Dismal Science of Economics to the New Science of Happiness
Economics, once described as
the dismal science, is now at the fore of new discoveries in explaining our
behaviour, emotions and indeed happiness. This new science of happiness is informed
by insights from cognitive neuroscience, evolutionary anthropology, behavioural
economics and positive psychology, and is making its mark. Richard Layard of
the London School of Economics and Bruno Frey of the University of Zurichis are pioneering figures in this new field and
they respectively lay their findings out in Happiness: Lessons from a New Science (2011) and Happiness: A Revolution in Economics (2008). Richard Davidson of the University of Wisconsin Laboratory for Affective Neuroscience is making new discoveries in the neurosciences of emotions, and Nobel Economics Laureate Daniel Kahneman has been developing measures for subjective wellbeing. All the findings have profound
implications, such as for the measurement of experienced utility and subjective
wellbeing, for how human beings value goods and services and social conditions,
and also for public policy.
World Happiness Report
In April 2012 The World Happiness Report (I definitely recommend having a read through), compiled by Jeffrey Sachs of the
Earth Institute at Columbia University, Richard Layard of
the London School of Economics
and John Helliwell Professor
of Economics at the University of British Columbia, was released. It is a tour
de force promoting Gross National Happiness as a measure for sustainable
development and socioeconomic progress. It provides a comprehensive overview
of current world state of happiness, summarises findings from the emerging
science of happiness, and offers analysis for further implications and benefits
of using Gross National Happiness as the yardstick for development. It
also looks at three major case studies (Bhutan, United Kingdom, OECD) where
focusing on happiness has proved the most effective public policy in addressing
poverty, development and a host of socioeconomic harms. The report shows that:
§ Happier
countries tend to be richer countries. But more important for happiness than
income are social factors like the strength of social support, the absence of
corruption and the degree of personal freedom.
§ Over
time as living standards have risen, happiness has increased in some countries,
but not in others (the majority of developed nations). On average, the world
has become a little happier in the last 30 years (by 0.14 times the standard
deviation of happiness around the world).
§ Unemployment
causes as much unhappiness as bereavement or separation. At work, job security
and good relationships do more for job satisfaction than high pay and
convenient hours.
§ Behaving
well and acting selflessly makes people happier.
§ Mental
health is the biggest single factor affecting happiness in any country. Yet
only a quarter of mentally ill people get treatment for their condition in
advanced countries and fewer in poorer countries.
Conclusions
The twenty first century is an
epoch already infamous for unprecedented individualism exemplified by the
Global Financial Crisis. The highest obligation that many people feel is to
realise their own potentials and make the most of themselves. This has proved a
terrifying and lonely objective and the epitome of anomie. Whilst we are finding
solace in online social networks, these are simply lacking the face to face
interaction that we humans long for and are ironically making us feel
disconnected. Indeed, we feel obligations to others, but there exists no
unifying social fabric. The old religious worldviews are fast losing
congregations, the post war and Cold War ideals of national solidarity are gone, and the
neoliberal ideologies of consumerism and individualism from Regan still percolate into the psyche of the population of the developed world and we have been left suffering from affluenza. In response to this status quo, a
number of organisations and figures have made their marks on the
intellectual and social topography. Using the philosophies of Epicurus to Bentham
and the economics of Easterlin to Layard as inspiration and theory,
organisations such as Action for
Happiness and the New Economics
Foundation have been at the fore of the intellectual and social fray, taking on board the research from the insights of economics and neuroscience.
The World Happiness Report (again, definitely have a look) is a milestone. Economics is no longer the dismal science and, just as Bentham developed his felicific calculus to measure pleasure, we can measure happiness. A generation of studies by psychologists, economists, pollsters, and social scientists have shown that happiness, though indeed a subjective experience and perhaps culturally relative to an extent, can be objectively measured, assessed, correlated with observable brain functions, and related to the characteristics and indicators of an individual and the society and economy. Asking people whether they are happy, or satisfied with their lives, offers important information about the society. We understand certain predictable factors that cause and facilitate happiness that reflect various facets of our human nature and social lives. Focusing on happiness provides a broader range of possible ways to build a better world, including more effective solutions for poverty, development and health. Indeed there are profound implications for public policy (Layard also lays them out here): improving mental health services, promoting volunteering and investing in communities, conserving the environment, regulating commercial advertising, making flexible workplaces, and valuing empathetic education. The United Nations has recognised this and many nations around the world led by Bhutan, such as the United Kingdom's Office for National Statistics Measuring National Wellbeing Programme, and even the OECD is developing measures for wellbeing and progress, are beginning to realise the importance of happiness for all aspects of society and the economy. It seems that Epicurus was accurate in this philosophy of a frugal life of pleasure, that Bentham was on the right track with his Felicific Calculus, and that the Easterlin paradox that we are all subject too points to a certain truth in our happiness-income relationship.
Create all the happiness you are able to create: remove all the misery
you are able to remove. Every day will allow you to add something to the
pleasure of others, or to diminish something of their pains. And for every
grain of enjoyment you sow in the bosom of another, you shall find a harvest in
your own bosom; while every sorrow which you pluck out from the thoughts and
feelings of a fellow creature shall be replaced by beautiful peace and joy in
the sanctuary of your soul.
Jeremy Bentham, British philosopher (1748 AD – 1832 AD)
Jeremy Bentham, British philosopher (1748 AD – 1832 AD)
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Tasman Bain is a second year
Bachelor of Arts (Anthropology) and Bachelor of Social Science (International
Development) Student at the University of Queensland. He is interested evolutionary anthropology, public economics and philosophy of science and enjoys endurance running, reading Douglas Adams, and playing the glockenspiel.