Hedonic Capital

Liam Graham and Andrew Oswald
Additional contact information
Liam Graham: University College London

The Warwick Economics Research Paper Series (TWERPS) from University of Warwick, Department of Economics

Abstract: This paper proposes a new way to think about happiness. It distinguishes between stocks and flows. Central to the analysis is a concept we call ‘hedonic capital’. The paper sets out a model of the dynamics of wellbeing in which bad life-shocks are smoothed by the drawing down of hedonic capital. The model fits the patterns found in the empirical literature: the existence of a stable level of wellbeing and a tendency to return gradually towards that level. It offers a theory of hedonic adaptation.

Keywords: Adaptation; wellbeing; evolution; happiness; habituation (search for similar items in EconPapers)
JEL-codes: D1 L3 (search for similar items in EconPapers)
Pages: 35 pages
Date: 2006
New Economics Papers: this item is included in nep-hpe and nep-ltv
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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https://warwick.ac.uk/fac/soc/economics/research/w ... s/2008/twerp_745.pdf

Related works:
Working Paper: Hedonic Capital (2006)
Working Paper: Hedonic Capital (2006)
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Persistent link: https://EconPapers.repec.org/RePEc:wrk:warwec:745

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