Effects of financial instability on subjective well-being: a preference-based approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Stathis Polyzos ◽  
Khadija Abdulrahman ◽  
Jagadish Dandu
Keyword(s):  
Financial Stability ◽  
Banking Sector ◽  
Well Being ◽  
Banking Crises ◽  
Optimization Techniques ◽  
Economic Effects ◽  
Support Vector ◽  
Subjective Well Being ◽  
Content Type ◽  
Agent Based

PurposeThe purpose of this paper is to examine the link between banking crises and the subjective well-being of individuals. In addition, the authors examine the transmission of crises from the banking sector to well-being and show that negative financial shocks have significant adverse effects.Design/methodology/approachThe authors employ agent-based modeling to test for the direct and indirect welfare effects of banking crises. The model includes a support vector machine (SVM) optimized subjective well-being function. The existing literature suggests that this is influenced by both the negative psychological effects of recessions and the adverse economic effects of income loss and increased unemployment.FindingsThe authors show that the different choices of policy response to a banking crisis carry different opportunity costs in terms of welfare and that societal preferences should be taken into account. The authors demonstrate that these effects influence different population classes in an asymmetric manner. Finally, the results demonstrate that the welfare loss of a bank failure is much higher than the cost of a bailout.Practical implicationsThe authors are able to propose to the authorities the best policy mix in order to handle banking crises in the most adequate manner, according to society's preferences between financial stability and public goods.Social implicationsThe findings extend the existing literature on subjective well-being, by quantifying the welfare cost of banking crises and showing that authorities should reconsider bank bailouts as a policy solution to bank distress.Originality/valueThe originality of this article lies in the use of an agent-based model to model the relationship between societal well-being and financial stability. Also, the authors extend existing agent-based methodologies to include machine learning optimization techniques.

Technology revolutions and social development

2005 ◽  
Vol 32 (5) ◽  
pp. 454-482 ◽  
Author(s):  
Peter L. Daniels
Keyword(s):  
Energy Saving ◽  
Well Being ◽  
Economic Effects ◽  
Production Factor ◽  
Human Welfare ◽  
Content Type ◽  
Energy And Environment ◽  
Socioeconomic System ◽  
Trade Competitiveness ◽  
Development Approach

PurposeAims to assess the potential for a broad “green” technoeconomic paradigm (TEP) to effectively achieve and sustain higher levels of welfare from economic and environmental sources in manylower income countries (LIC). A green TEP comprises a new socioeconomic system based upon a set of inter‐related technologies that increase human welfare, but focus upon saving material, energy and other environmental resources. TEPs have pervasive social and economic effects that include substantial productivity, trade competitiveness, and environmental quality advantages. The desirability of such economic change must incorporate the general approach of social economics and alternative notions of well‐being.Design/methodology/approachThe paper is largely discursive in nature and provides a systematic identification of the LIC conditions that are likely to promote, and benefit from, the pervasive adoption of material‐ and energy‐saving technologies. Some results of an exploratory cross‐country study of the empirical link between technology capability and the human development index (HDI) are utilized in the discussion.FindingsThe paper concludes that a green TEP may well provide a viable alternative development approach in the LICs. The main advantages are derived from related resource efficiency gains and reductions in the socioeconomic metabolism, and the benefits of a relative production factor shift toward labor (and away from materials, energy, and environment‐intensive capital). The potential for LICs is also facilitated by the positive spillovers and decreasing cost of green TEP‐related knowledge and technology diffusion in the expanding, decentralizing global communication network. The higher income nations would need to play a significant role in this process.Originality/valueEcological modernisation and material and energy‐saving technologies are widely viewed as essential for achieving long‐term economic and social well‐being improvements in the twenty‐first century and beyond. Discussion of this promising approach typically assumes that this transformation is only viable in the technological and economic context of the higher income nations. However, this paper provides a detailed case for the strategic encouragement and adoption of a green TEP for sustainable economic development and environmental conditions in LICs.

Psychological capital and career commitment: the mediating effect of subjective well-being

2018 ◽  
Vol 56 (2) ◽  
pp. 458-473 ◽  
Author(s):  
Hansika Singhal ◽  
Renu Rastogi
Keyword(s):  
Life Satisfaction ◽  
Negative Affect ◽  
Positive Affect ◽  
Psychological Capital ◽  
Career Commitment ◽  
Well Being ◽  
Subjective Well Being ◽  
Content Type ◽  
The Relationship

Purpose The purpose of this paper is to discover the role of psychological capital (PsyCap) as a predictor of subjective well-being (SWB) and career commitment (CC). Further, it aims to analyze the mediating role of SWB in the relationship between PsyCap and CC in the Indian manufacturing sector. Design/methodology/approach A quantitative survey-based research design employing data from 300 employees in the National Capital Region (NCR) of India was used in the present research. Findings The results demonstrated that PsyCap acted as a predictor for SWB and CC. Additionally, SWB partially mediated the relationship between PsyCap and CC. Research limitations/implications The limitations of the present research would have to do with the purposive sample set chosen during the data collection. The sample consisted of middle- and upper-middle-class Indian employees working in the NCR having knowledge of English language and computer skills. Perhaps, future research works should take into account a wider sample in terms of the regions across India and not only the NCR. Although the findings showed that SWB reduced the relationship between PsyCap and CC, still that relationship was significant statistically. Further research studies might also explore various moderators while simultaneously studying SWB. In the research, SWB acted as a significant mediator of the relation between PsyCap and CC, yet at the same time, it may be the scenario that employees who are committed toward their career would be more inclined to espouse a greater sense of SWB (i.e. mediator is caused by the outcome). Hence, the authors duly recognize the need to test this substitute model. Since, SWB places chief emphasis on respondent’s own experiences and perspectives; it does not denote a consummate understanding of their mental health as people may have psychological disorders even if they experience happiness. Hence, the use of other measures in addition to SWB in comprehending a person’s psychological health is desirable (Diener et al., 1997). Practical implications This study suggests that in order for organizations to have a workforce committed to their career and hence, their profession, the supervisors will need to train the employees having a higher incidence of PsyCap to increase their SWB. Consequently, the supervisors will, in turn, need to recruit employees already having the four dimensions of PsyCap, i.e. hope, efficacy, resilience and optimism at the workplace in order for them to have a higher life satisfaction, positive affect, reduced negative affect (three components of SWB) and increased CC. Social implications Employees who develop within themselves a state of being hopeful, efficacious, resilient and optimistic will also be strongly oriented toward having greater life satisfaction, positive affect and lower levels of negative affect. This, in part, would help them achieve the required commitment toward their career and hence, help them in sticking with their jobs. Originality/value The present study advances the existing work on positive organizational behavior by exhibiting the noteworthy role of PsyCap in predicting SWB and CC. Further, it helps in demonstrating the inevitable role of SWB in partially mediating the relationship between PsyCap and CC.

Happiness and farm productivity: insights from maize farmers in China

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Wanglin Ma ◽  
Puneet Vatsa ◽  
Xiaoshi Zhou ◽  
Hongyun Zheng
Keyword(s):  
Process Model ◽  
Agricultural Development ◽  
Well Being ◽  
Farm Size ◽  
Subjective Well Being ◽  
Firm Level ◽  
Content Type ◽  
Maize Productivity ◽  
Farm Productivity ◽  
The Impact

PurposeThe purpose of this study is to explore the relationship between farmers' happiness and farm productivity, taking maize production in China as an example.Design/methodology/approachThe conditional mixed process model is employed to account for the endogeneity that inevitably arises in regression models studying happiness and estimate the 2015 China Household Finance Survey data.FindingsThe empirical results show that a higher level of farmers' happiness is associated with higher maize productivity. The marginal return in maize productivity changes unevenly with increments in farmers' self-reported happiness on a five-point Likert scale. Farmers' happiness is positively determined by their age, educational level, farm size, machinery ownership, access to agricultural subsidy and car ownership. Machinery ownership and access to credit are two important factors that improve maize productivity.Research limitations/implicationsThe finding suggests that promoting the subjective well-being of farmers is conducive to higher productivity and improved national food security. The results have implications for China and other developing countries aiming for sustainable agricultural development.Originality/valueFirm-level data show that workers' happiness improves productivity. However, it is still unclear whether farmworkers' happiness affects farm productivity. Thus, this study provides the first empirical analysis of the impact of farmworkers' happiness on farm productivity.

Married couples’ perceptions on women’s autonomy and subjective well-being in Lao PDR

2019 ◽  
Vol 46 (6) ◽  
pp. 792-804 ◽  
Author(s):  
Kanako Yoshikawa ◽  
Yusuke Kamiya
Keyword(s):  
Regression Analysis ◽  
Lao Pdr ◽  
Positive Association ◽  
Married Couples ◽  
Well Being ◽  
Subjective Well Being ◽  
Women’S Autonomy ◽  
Content Type ◽  
Women's Autonomy ◽  
Inheritance System

PurposeThe purpose of this paper is to examine the perceptions of married couples regarding women’s autonomy and the association of these perceptions with the subjective well-being of wives in Lao PDR.Design/methodology/approachThe study was conducted in semi-urban communities in Vientiane Capital of Lao PDR. Data were collected from 198 matched married couples with children under 12 years of age. Cross-tabulation analysis and multivariate regression analysis were used to assess the association between couple’s perceptions regarding women’s autonomy and the subjective well-being of wives.FindingsResults from regression analysis revealed a positive association between the self-reported autonomy of wives and their subjective well-being. In contrast, neither the husband’s perceptions nor the couple’s concordance regarding the autonomy of the wife was associated with the level of the wife’s subjective well-being.Research limitations/implicationsThe survey was conducted in four small communities in Vientiane Capital. Thus, larger and more representative studies covering the entire country would be preferable for future policy orientation.Originality/valueThe study sites belong to the Lao-Lum group, which follows a matrilineal inheritance system under which wives generally enjoy a relatively higher social status than do women elsewhere in the world. The findings suggest that, even in women-centered settings, interventions aimed at increasing a woman’s perception of her household decision-making autonomy can improve her subjective well-being.

An expanded nomological network of experienscape

2020 ◽  
Vol 32 (3) ◽  
pp. 999-1040 ◽  
Author(s):  
Asli D.A. Tasci ◽  
Abraham Pizam
Keyword(s):  
Quality Of Life ◽  
Well Being ◽  
Future Research ◽  
Subjective Happiness ◽  
Subjective Well Being ◽  
Nomological Network ◽  
Multiple Stakeholders ◽  
Content Type ◽  
Holistic Understanding

Purpose Bitner’s (1992) concept of servicescape has received widespread academic attention, resulting in many conceptual and empirical studies. By scanning the servicescape literature and other relevant concepts, Pizam and Tasci (2019) provided experienscape, an expanded version of servicescape, to be measured from different stakeholders’ perspectives with a multidisciplinary approach. This paper aims to build on Pizam and Tasci’s conceptualization of experienscape and expand its nomological network with other pertinent concepts related to different stakeholders with an interdisciplinary approach. Design/methodology/approach This is a conceptual study analyzing diverse literature related to servicescape, experienscape and other related concepts and theories to provide an integrated and holistic picture of experienscape for more robust theory development. Several new relationships are synthesized for hypothesis development and testing in future research. Findings The review of past research reveals that servicescape literature has mostly focused on outcomes for the benefit of brands and firms and missed outcomes for consumers and other stakeholders. In addition, servicescape literature lacks several critical concepts in the affective, cognitive and behavioral reaction domains, as well as moderator factors. The relevance of some theories such as branding (e.g. brand identity, personality, image, perceived quality, consumer value, brand value and self-congruity), cocreation/coproduction/codestruction, transformation, subjective happiness, subjective well-being and quality of life is completely overlooked. Research limitations/implications Experienscape is a container of complex systems where needs, wants and expectations of multiple stakeholders are entertained, often at the same time through dynamic interactions among multiple stakeholders. Thus, a holistic understanding of experienscape requires dynamic integration of theories explaining the behavior of different stakeholders by cross-fertilizing theories through interdisciplinary research rather than unidisciplinary or multidisciplinary research conducted in separate silos. Originality/value By adopting Pizam and Tasci’s (2019) experienscape concept, this study expanded the relational network of service environment components (i.e. sensory, functional, social, natural and cultural components of experienscape) by incorporating diverse theories and concepts that explain cognitive, affective and conative reactions of different stakeholders to an experience environment. Additionally, the current study recommends attention to human-centric outcomes such as transformation, subjective well-being, subjective happiness and quality of life, which were completely overlooked in previous servicescape research.

scholarly journals Panel modeling of z-score: evidence from Islamic and conventional Saudi banks

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hassan Belkacem Ghassan ◽  
Abdelkrim Ahmed Guendouz
Keyword(s):  
Financial Stability ◽  
Banking Sector ◽  
Stability Index ◽  
Z Score ◽  
Strong Concentration ◽  
Content Type ◽  
Quarterly Data ◽  
Annual Frequency ◽  
Conventional Banks ◽  
The Stability

Purpose This paper aims to measure the stability extent of the banking sector in Saudi Arabia, including Islamic and conventional banks (CBs), using quarterly data. Design/methodology/approach The paper uses seemingly unrelated regressions to estimate the determinants of the z-score. Findings The panel data model shows that Islamic banks (IBs) reduce the financial stability index relatively; meanwhile, they contribute efficiently to enhance the financial stability through the diversification of their assets. The Saudi banking sector exhibits strong concentration affecting the financial stability negatively. Research limitations/implications The paper’s topic can be extended to cover the recent period. Practical implications The limited presence of IBs in the Saudi banking sector jeopardizes any effort to improve the financial stability. Social implications By attracting more clients, IBs would contribute more to the financial stability in the Saudi economy. Also, the monetary authority has to expand the share of IBs in the financial system at least 50-50 compared to CBs. Originality/value The z-score is mostly analyzed with yearly data; in this paper we use quarterly data to describe at infra-annual frequency the variability of the z-score index. Also, we consider in detail the statistical properties of the banks’ data.

scholarly journals Does Religion Affect Economic Growth and Happiness? Evidence from Ramadan *

2015 ◽  
Vol 130 (2) ◽  
pp. 615-658 ◽  
Author(s):  
Filipe Campante ◽  
David Yanagizawa-Drott
Keyword(s):  
Well Being ◽  
Output Growth ◽  
Good Explanation ◽  
Economic Effects ◽  
Religious Practices ◽  
Subjective Well Being ◽  
Ramadan Fasting ◽  
Muslim Countries ◽  
Negative Effect ◽  
Club Good

Abstract We study the economic effects of religious practices in the context of the observance of Ramadan fasting, one of the central tenets of Islam. To establish causality, we exploit variation in the length of daily fasting due to the interaction between the rotating Islamic calendar and a country’s latitude. We report two key, quantitatively meaningful results: (i) longer Ramadan fasting has a negative effect on output growth in Muslim countries, and (ii) it increases subjective well-being among Muslims. We find evidence that these patterns are consistent with a standard club good explanation for the emergence of costly religious practices: increased strictness of fasting screens out the less committed members, while the more committed respond with an increase in their relative levels of participation. Together, our results underscore that religious practices can affect individual behavior and beliefs in ways that have negative implications for economic performance, but that nevertheless increase subjective well-being among followers.

scholarly journals The influence of social distancing on employee well-being: a conceptual framework and research agenda

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sven Tuzovic ◽  
Sertan Kabadayi
Keyword(s):  
Conceptual Framework ◽  
Research Agenda ◽  
Well Being ◽  
Subjective Well Being ◽  
Content Type ◽  
Theoretical Concepts ◽  
Social Distancing ◽  
Starting Point ◽  
Service Continuity ◽  
The Impact

PurposeThe ongoing pandemic caused by the coronavirus disease 2019 (COVID-19) virus has severely influenced lives and livelihoods. As service organizations either face hibernation or continuity of their business operations, the impact of social distancing measures raises major concerns for the well-being of service employees. In this paper, the authors develop a conceptual framework to examine how different social distancing practices impact an organization's service continuity or service hibernation, which in turn affects different dimensions of their employee subjective well-being during the COVID-19 pandemic.Design/methodology/approachThe authors draw on macroeconomic data and industrial reports, linking them to theoretical concepts to develop a conceptual framework and a research agenda to serve as a starting point to fully understand the impact of this pandemic on employee well-being.FindingsThis article develops an overarching framework and research agenda to investigate the impact of social distancing practices on employee well-being.Originality/valueThe authors propose two opposing business concepts – service continuity and service hibernation – as possible responses to social distancing measures. By bridging different theoretical domains, the authors suggeste that there is a need to holistically examine macro-, meso- and micro-level factors to fully understand the impact of social distancing–related measures on employee well-being.

scholarly journals Enabling transformative value creation through online weight loss services

2020 ◽  
Vol 34 (6) ◽  
pp. 797-808
Author(s):  
Heini Taiminen ◽  
Kimmo Taiminen ◽  
Juha Munnukka
Keyword(s):  
Weight Loss ◽  
Structural Equation ◽  
Behavioral Control ◽  
Well Being ◽  
Service Research ◽  
Perceived Behavioral Control ◽  
Subjective Well Being ◽  
Content Type ◽  
Actual Weight ◽  
Service Period

Purpose This study aims to understand how online weight loss services could help customers achieve a durable change. The particular focus is on exploring the roles of value co-creation and well-being outcomes in reinforcing the transformative value potential, which is argued to be realized as customers’ intentions to continue a healthier lifestyle after the service period has ended. Design/methodology/approach Data was collected from the participants of an online weight loss service (n = 498), and a conceptual research model was tested using structural equation modelling. Findings The results imply that compliance with the guidelines and social support are two value co-creation activities that can influence the well-being outcomes of transformative services (i.e. perceived behavioral control and satisfaction with one’s achievements). These well-being outcomes help attain the transformative value potential of online weight loss services. However, the actual weight loss affected the transformative value potential only through customers’ satisfaction with their achievements as a subjective well-being outcome. Originality/value This study provides insight into the transformative value potential of services in the weight loss context. This study contributes to the transformative service research by focusing on the role of online services in reinforcing a durable change through the co-creation of value and improvements in customers’ well-being.

Commercialization of audit firms and auditors’ subjective well-being

2020 ◽  
Vol 28 (4) ◽  
pp. 565-585 ◽  
Author(s):  
Yilia Ponomareva ◽  
Timur Uman ◽  
Pernilla Broberg ◽  
Emmy Vinberg ◽  
Karoline Karlsson
Keyword(s):  
Design Methodology ◽  
Empirical Support ◽  
Well Being ◽  
Conservation Of Resources ◽  
Subjective Well Being ◽  
Ongoing Debate ◽  
Content Type ◽  
Audit Firms ◽  
Big Four ◽  
Positive Effect

Purpose The purpose of this study is to explore how the commercialization of audit firms relates to the subjective well-being (SWB) of auditors. Drawing on the conservation of resources and social identity theories, the authors argue that the commercialization of audit firms enhances auditors’ subjective well-being in its overall happiness and job-related dimensions through two theoretical mechanisms. First, it constitutes a valuable resource for an auditor, and second, it reinforces the auditor’s identification with a firm. The authors subsequently contend that this relation is contingent on whether auditors are used in Big four or non-Big four audit firms. Design/methodology/approach The authors test our hypotheses-based data obtained from a survey of 166 Swedish auditors. The data are explored by means of descriptive statistics, correlation matrixes and linear moderating multiple regression analyzes. Findings The authors show that commercial orientation can have a positive effect on auditors’ SWB. The authors also find that the positive relationship between commercialization and SWB is stronger for auditors employed by one of the Big four firms. Originality/value The results contribute to the ongoing debate about the normalization of commercialization within the audit profession by theorizing on and providing empirical support for the positive consequences of commercialization.

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