The impact of Happiness on Economic Growth and Community Development: A Dynamic Panel Estimation.

Abstract

The objective of this study is to assess the impact of happiness on the nation's growth in an effort to understand the importance of placing human well-being at the center of policy making decisions that would develop communities in a more sustainable way. This study uses the technique of dynamic panel estimation of Generalized Methods of Moments (GMM) to analyze a set of micro-panel data from fifty countries selected for the period 2000 to 2013. The results show evidence that happiness and the formation ofcapital have a favourable impact on economic growth.