SOCIOECONOMIC FACTORS AFFECTING INDIVIDUALS' LIFE SATISFACTION: DYNAMIC PANEL DATA ANALYSIS FOR SELECTED OECD COUNTRIES

Abstract

Life satisfaction, which expresses the state of meeting the expectations of individuals as a result of reaching the goals they want in their lives, is the most important factor in ensuring the happiness of individuals, which is their ultimate goal in life. For this reason it is important to determine the socioeconomic factors that affect the life satisfaction of individuals. In the study, the effect of socioeconomic factors on life satisfaction of individuals in 25 member countries that are members of the Organization for Economic Cooperation and Development was investigated with the System Generalized Method of Moments for the period 2013-2018. These countries and the period were determined according to the data set of the variables used in the analysis. The socioeconomic factors affecting life satisfaction of individuals in 25 countries that are members of the Organization for Economic Cooperation and Development were determined within the scope of economic conditions, education and security. System Generalized Method of Moments result shows that mainly economic factors have an effect on life satisfaction. Accordingly, while unemployment and gini coefficient negatively affect individuals' life satisfaction; per capita gross domestic product and higher education graduates affect positively. Social expenditures and violent crimes have no effect on life satisfaction.