Are Poor People Less Happy? Findings from Melanesia

Measures of happiness are increasingly being used to inform development policy. This is particularly true in Melanesia where linkages between income and life satisfaction can be weak due to the dominance of semi-subsistence lifestyles. This paper examines the happiness of households in two Melanesian countries: Solomon Islands and Vanuatu. The focus is on whether the poor are less happy. Findings indicate that wealth, increases in earnings, relative wealth, employment, and living on communally owned land are positively associated with happiness. Household size and food insecurity have a negative association. There is also strong support for poor households being less happy.