Main Article Content
Abstract
The Easterlin Paradox triggers the use of happiness as a measure of Wellbeing. The welfare can be measured by monetary measurement and comprehensive to subjective measurement, one of which is social capital. This study shows the influence of social capital on the level of individual happiness in Indonesia. The study uses the 2007 and 2014 Indonesia Family Life Survey (IFLS) data. Using the Logit Regression Panel, the results show a positive influence on social capital, which contains trust, social networks, and sanctions and norms on several dimensions on the level of individual happiness. We also found that individual happiness levels are based on age, marital status, income level, education level, health status. Therefore, we need programs that prioritize community participation to increase informal social interaction and the need for effective programs to accelerate community income.
Keywords
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References
- Acquaah, M. (2011). Business strategy and competitive advantage in family businesses in Ghana: The role of social networking relationships. Journal of developmental entrepreneurship, 16(01), 103-126. https://doi.org/10.1142/S1084946711001744.
- Alawiyah, T., & Held, M. L. (2015). Social capital: Promoting health and Wellbeing among Indonesian women. Affilia, 30(3), 352-362. https://doi.org/10.1177%2F0886109915572842.
- Angner, E., Ghandhi, J., Purvis, K. W., Amante, D., & Allison, J. (2013). Daily functioning, health status, and happiness in older adults. Journal of Happiness Studies, 14(5), 1563-1574. https://doi.org/10.1007/s10902-012-9395-6.
- Ateca-Amestoy, V., Aguilar, A. C., & Moro-Egido, A. I. (2014). Social interactions and life satisfaction: Evidence from Latin America. Journal of Happiness Studies, 15(3), 527-554. https://doi.org/10.1007/s10902-013-9434-y.
- Badan Pusat Statistik. (2017). Survei Pengukuran Tingkat Kebahagiaan 2017. Jakarta: Badan Pusat Statistik.
- Bartolini, S., & Sarracino, F. (2014). Happy for how long? How social capital and economic growth relate to happiness over time. Ecological economics, 108, 242-256. https://doi.org/10.1016/j.ecolecon.2014.10.004.
- Becchetti, L., Pelloni, A., & Rossetti, F. (2008). Relational goods, sociability, and happiness. Kyklos, 61(3), 343-363. https://doi.org/10.1111/j.1467-6435.2008.00405.x.
- Blanchflower, D. G., & Oswald, A. J. (2004). Wellbeing over time in Britain and the USA. Journal of public economics, 88(7-8), 1359-1386. https://doi.org/10.1016/S0047-2727(02)00168-8.
- Bruni, L., & Stanca, L. (2008). Watching alone: Relational goods, television and happiness. Journal of Economic Behavior & Organization, 65(3-4), 506-528. https://doi.org/10.1016/j.jebo.2005.12.005.
- Bjørnskov, C. (2008). Social trust and fractionalization: A possible reinterpretation. European Sociological Review, 24(3), 271-283. https://doi.org/10.1093/esr/jcn004.
- Cahyono, B. (2014). Peran modal sosial dalam peningkatan kesejahteraan masyarakat petani tembakau di kabupaten wonosobo. Jurnal Ekonomi dan Bisnis, 15(1), 1-16. http://dx.doi.org/10.30659/ekobis.15.1.1-16.
- Canaani, Sh. (2006). the effectiveness of group counseling with Fordyce approach happinesson the job satisfaction of teachers in public schools, five secondary school in Tehran. Unpublished MA thesis, Tehran, Islamic Azad University Science and Research Branch.
- Chan, Y. K., & Lee, R. P. (2006). Network size, social support and happiness in later life: A comparative study of Beijing and Hong Kong. Journal of Happiness Studies, 7(1), 87-112. https://doi.org/10.1007/s10902-005-1915-1.
- Coleman, J. S. (1988). Social capital in the creation of human capital. American journal of sociology, 94, S95-S120. https://doi.org/10.1086/228943.
- Compton, W. C. (2005). An Introduction to Positive Psychology. CA: Thomson Learning.
- Crivelli, L., & Lucchini, M. (2017). Health and happiness: an introduction. https://doi.org/10.1007/s12232-017-0279-2.
- Czapinski, J., & Panek, T. (2011). Social diagnosis 2011: objective and subjective quality of life in Poland-full report. Contemporary Economics, 5(3). https://ssrn.com/abstract=2165834.
- Easterlin, R. A. (1974). Does economic growth improve the human lot? Some empirical evidence. In Nations and households in economic growth (pp. 89-125). Academic Press. https://doi.org/10.1016/B978-0-12-205050-3.50008-7.
- Frank, R. H. (1985). The demand for unobservable and other non-positional goods. The American Economic Review, 75(1), 101-116. https://www.jstor.org/stable/1812706.
- Frey, B. S., & Stutzer, A. (2000). Happiness, economy and institutions. The Economic Journal, 110(466), 918-938. https://doi.org/10.1111/1468-0297.00570.
- Ghamari, M. (2012). The relationship of social capital and happiness among high School students of Karaj City. International Journal of Academic Research in Business and Social Sciences, 2(1), 353-363.
- Graham, C. L., & Pettinato, S. (2004). Happiness and hardship: Opportunity and insecurity in new market economies. Brookings Institution Press. https://muse.jhu.edu/book/63847.
- Guiso, L., Sapienza, P., & Zingales, L. (2004). The role of social capital in financial development. American economic review, 94(3), 526-556. http://www.jstor.org/stable/3592941?origin=JSTOR-pdf.
- Han, S., Kim, H., & Lee, H. S. (2013). A multilevel analysis of the compositional and contextual association of social capital and subjective Wellbeing in Seoul, South Korea. Social Indicators Research, 111(1), 185-202. https://doi.org/10.1007/s11205-011-9990-7.
- Hean, S., Cowley, S., Forbes, A., Griffiths, P., & Maben, J. (2003). The M–C–M? cycle and social capital. Social Science & Medicine, 56(5), 1061-1072. https://doi.org/10.1016/S0277-9536(02)00103-X.
- Han, S., Kim, H., Lee, E. S., & Lee, H. S. (2013). The contextual and compositional associations of social capital and subjective happiness: A multilevel analysis from Seoul, South Korea. Journal of Happiness Studies, 14(4), 1183-1200. https://doi.org/10.1007/s10902-012-9375-x.
- Helliwell, J. F. (2006). Well-Being, Social Capital and Public Policy: What's New?. Economic Journal, C34-C45. https://www.jstor.org/stable/3590411.
- Helliwell, J. F., & Barrington-Leigh, C. P. (2010). How much is social capital worth? (No. w16025). National Bureau of Economic Research. https://doi.org/10.3386/w16025.
- Helliwell, J. F., & Putnam, R. D. (2004). The social context of well–being. Philosophical Transactions of the Royal Society of London. Series B: Biological Sciences, 359(1449), 1435-1446. https://doi.org/10.1098/rstb.2004.1522.
- Inglehart, R., & Baker, W. E. (2000). Modernization, cultural change, and the persistence of traditional values. American sociological review, 19-51. https://doi.org/10.2307/2657288.
- Jumirah, J., & Wahyuni, H. (2018). The effect of social capital on welfare in Indonesia. Journal of Indonesian Economy and Business, 33(1), 65-76. https://doi.org/10.22146/jieb.29219.
- Larsen, R. J., & Eid, M. (2008). Ed Diener and the science of subjective Wellbeing. The science of subjective Wellbeing, 1-13. http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.470.2930&rep=rep1&type=pdf.
- Layard, R. (2006). Happiness and public policy: A challenge to the profession. The Economic Journal, 116(510), C24-C33. https://www.jstor.org/stable/3590410.
- Leung, A., Kier, C., Fung, T., Fung, L., & Sproule, R. (2011). Searching for happiness: The importance of social capital. Journal of Happiness Studies, 12(3), 443-462. https://doi.org/10.1007/s10902-010-9208-8.
- MacKerron, G. (2012). Happiness economics from 35 000 feet. Journal of Economic Surveys, 26(4), 705-735. https://doi.org/10.1111/j.1467-6419.2010.00672.x.
- Michalos, A. C. (2008). Education, happiness and Wellbeing. Social Indicators Research, 87(3), 347-366. https://doi.org/10.1007/s11205-007-9144-0.
- Nasution, A., Rustiadi, E., Juanda, B., & Hadi, S. (2014). Dampak modal sosial terhadap kesejahteraan Rumah Tangga Perdesaan di Indonesia. Mimbar: Jurnal Sosial dan Pembangunan, 30(2), 137-148. https://doi.org/10.29313/mimbar.v30i2.593.
- Navaitis, G., Labutis, G., & Kairien?, B. (2016, May). The marital status and the happiness. In Proceedings of the International Scientific Conference. Volume I (Vol. 458, p. 468). http://dx.doi.org/10.17770/sie2016vol1.1513.
- Paldam, M., & Svendsen, G. T. (2000). An essay on social capital: looking for the fire behind the smoke. European journal of political economy, 16(2), 339-366. https://doi.org/10.1016/S0176-2680(99)00064-6.
- Portela, M., Neira, I., & del Mar Salinas-Jiménez, M. (2013). Social capital and subjective Wellbeing in Europe: A new approach on social capital. Social Indicators Research, 114(2), 493-511. https://doi.org/10.1007/s11205-012-0158-x.
- Putnam, R. D. (2000). Bowling alone: The collapse and revival of American community. Simon and schuster.
- Rahayu, T. P., & Harmadi, S. H. (2016). The effect of income, health, education, and social capital on happiness in Indonesia. Asian Social Science, 12(7), 75-87. https://doi.org/10.5539/ass.v12n7p75.
- Rodríguez-Pose, A., & Von Berlepsch, V. (2014). Social capital and individual happiness in Europe. Journal of Happiness Studies, 15(2), 357-386.
- Sacks, D. W., Stevenson, B., & Wolfers, J. (2010). Subjective Wellbeing, income, economic development and growth. https://doi.org/10.1596/978-0-8213-8522-7.
- Seligman, M. E. (2004). Authentic happiness: Using the new positive psychology to realize your potential for lasting fulfillment. Simon and Schuster.
- Stevenson, B., & Wolfers, J. (2008). Economic growth and subjective Wellbeing: Reassessing the Easterlin paradox (No. w14282). National Bureau of Economic Research.
- Subramanian, S. V., Kim, D., & Kawachi, I. (2005). Covariation in the socioeconomic determinants of self rated health and happiness: a multivariate multilevel analysis of individuals and communities in the USA. Journal of Epidemiology & Community Health, 59(8), 664-669. http://dx.doi.org/10.1136/jech.2004.025742.
- Tian, G., & Yang, L. (2007). A formal economic theory for happiness studies: A solution to the happiness-income puzzle. Texas A&M University, Department of Economics, College Station. http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.337.4228&rep=rep1&type=pdf.
- Tsui, H. C. (2014). What affects happiness: Absolute income, relative income or expected income?. Journal of Policy Modeling, 36(6), 994-1007. https://doi.org/10.1016/j.jpolmod.2014.09.005.
- Tsuruta, K., Shiomitsu, T., Hombu, A., & Fujii, Y. (2019). Relationship between social capital and happiness in a Japanese community: A cross?sectional study. Nursing & Health Sciences, 21(2), 245-252. https://doi.org/10.1111/nhs.12589.
- Winkelmann, R. (2009). Unemployment, social capital, and subjective Wellbeing. Journal of happiness studies, 10(4), 421-430. https://doi.org/10.1007/s10902-008-9097-2.
- Woolcock, M., & Narayan, D. (2000). Social capital: Implications for development theory, research, and policy. The world bank research observer, 15(2), 225-249. https://doi.org/10.1093/wbro/15.2.225.
References
Acquaah, M. (2011). Business strategy and competitive advantage in family businesses in Ghana: The role of social networking relationships. Journal of developmental entrepreneurship, 16(01), 103-126. https://doi.org/10.1142/S1084946711001744.
Alawiyah, T., & Held, M. L. (2015). Social capital: Promoting health and Wellbeing among Indonesian women. Affilia, 30(3), 352-362. https://doi.org/10.1177%2F0886109915572842.
Angner, E., Ghandhi, J., Purvis, K. W., Amante, D., & Allison, J. (2013). Daily functioning, health status, and happiness in older adults. Journal of Happiness Studies, 14(5), 1563-1574. https://doi.org/10.1007/s10902-012-9395-6.
Ateca-Amestoy, V., Aguilar, A. C., & Moro-Egido, A. I. (2014). Social interactions and life satisfaction: Evidence from Latin America. Journal of Happiness Studies, 15(3), 527-554. https://doi.org/10.1007/s10902-013-9434-y.
Badan Pusat Statistik. (2017). Survei Pengukuran Tingkat Kebahagiaan 2017. Jakarta: Badan Pusat Statistik.
Bartolini, S., & Sarracino, F. (2014). Happy for how long? How social capital and economic growth relate to happiness over time. Ecological economics, 108, 242-256. https://doi.org/10.1016/j.ecolecon.2014.10.004.
Becchetti, L., Pelloni, A., & Rossetti, F. (2008). Relational goods, sociability, and happiness. Kyklos, 61(3), 343-363. https://doi.org/10.1111/j.1467-6435.2008.00405.x.
Blanchflower, D. G., & Oswald, A. J. (2004). Wellbeing over time in Britain and the USA. Journal of public economics, 88(7-8), 1359-1386. https://doi.org/10.1016/S0047-2727(02)00168-8.
Bruni, L., & Stanca, L. (2008). Watching alone: Relational goods, television and happiness. Journal of Economic Behavior & Organization, 65(3-4), 506-528. https://doi.org/10.1016/j.jebo.2005.12.005.
Bjørnskov, C. (2008). Social trust and fractionalization: A possible reinterpretation. European Sociological Review, 24(3), 271-283. https://doi.org/10.1093/esr/jcn004.
Cahyono, B. (2014). Peran modal sosial dalam peningkatan kesejahteraan masyarakat petani tembakau di kabupaten wonosobo. Jurnal Ekonomi dan Bisnis, 15(1), 1-16. http://dx.doi.org/10.30659/ekobis.15.1.1-16.
Canaani, Sh. (2006). the effectiveness of group counseling with Fordyce approach happinesson the job satisfaction of teachers in public schools, five secondary school in Tehran. Unpublished MA thesis, Tehran, Islamic Azad University Science and Research Branch.
Chan, Y. K., & Lee, R. P. (2006). Network size, social support and happiness in later life: A comparative study of Beijing and Hong Kong. Journal of Happiness Studies, 7(1), 87-112. https://doi.org/10.1007/s10902-005-1915-1.
Coleman, J. S. (1988). Social capital in the creation of human capital. American journal of sociology, 94, S95-S120. https://doi.org/10.1086/228943.
Compton, W. C. (2005). An Introduction to Positive Psychology. CA: Thomson Learning.
Crivelli, L., & Lucchini, M. (2017). Health and happiness: an introduction. https://doi.org/10.1007/s12232-017-0279-2.
Czapinski, J., & Panek, T. (2011). Social diagnosis 2011: objective and subjective quality of life in Poland-full report. Contemporary Economics, 5(3). https://ssrn.com/abstract=2165834.
Easterlin, R. A. (1974). Does economic growth improve the human lot? Some empirical evidence. In Nations and households in economic growth (pp. 89-125). Academic Press. https://doi.org/10.1016/B978-0-12-205050-3.50008-7.
Frank, R. H. (1985). The demand for unobservable and other non-positional goods. The American Economic Review, 75(1), 101-116. https://www.jstor.org/stable/1812706.
Frey, B. S., & Stutzer, A. (2000). Happiness, economy and institutions. The Economic Journal, 110(466), 918-938. https://doi.org/10.1111/1468-0297.00570.
Ghamari, M. (2012). The relationship of social capital and happiness among high School students of Karaj City. International Journal of Academic Research in Business and Social Sciences, 2(1), 353-363.
Graham, C. L., & Pettinato, S. (2004). Happiness and hardship: Opportunity and insecurity in new market economies. Brookings Institution Press. https://muse.jhu.edu/book/63847.
Guiso, L., Sapienza, P., & Zingales, L. (2004). The role of social capital in financial development. American economic review, 94(3), 526-556. http://www.jstor.org/stable/3592941?origin=JSTOR-pdf.
Han, S., Kim, H., & Lee, H. S. (2013). A multilevel analysis of the compositional and contextual association of social capital and subjective Wellbeing in Seoul, South Korea. Social Indicators Research, 111(1), 185-202. https://doi.org/10.1007/s11205-011-9990-7.
Hean, S., Cowley, S., Forbes, A., Griffiths, P., & Maben, J. (2003). The M–C–M? cycle and social capital. Social Science & Medicine, 56(5), 1061-1072. https://doi.org/10.1016/S0277-9536(02)00103-X.
Han, S., Kim, H., Lee, E. S., & Lee, H. S. (2013). The contextual and compositional associations of social capital and subjective happiness: A multilevel analysis from Seoul, South Korea. Journal of Happiness Studies, 14(4), 1183-1200. https://doi.org/10.1007/s10902-012-9375-x.
Helliwell, J. F. (2006). Well-Being, Social Capital and Public Policy: What's New?. Economic Journal, C34-C45. https://www.jstor.org/stable/3590411.
Helliwell, J. F., & Barrington-Leigh, C. P. (2010). How much is social capital worth? (No. w16025). National Bureau of Economic Research. https://doi.org/10.3386/w16025.
Helliwell, J. F., & Putnam, R. D. (2004). The social context of well–being. Philosophical Transactions of the Royal Society of London. Series B: Biological Sciences, 359(1449), 1435-1446. https://doi.org/10.1098/rstb.2004.1522.
Inglehart, R., & Baker, W. E. (2000). Modernization, cultural change, and the persistence of traditional values. American sociological review, 19-51. https://doi.org/10.2307/2657288.
Jumirah, J., & Wahyuni, H. (2018). The effect of social capital on welfare in Indonesia. Journal of Indonesian Economy and Business, 33(1), 65-76. https://doi.org/10.22146/jieb.29219.
Larsen, R. J., & Eid, M. (2008). Ed Diener and the science of subjective Wellbeing. The science of subjective Wellbeing, 1-13. http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.470.2930&rep=rep1&type=pdf.
Layard, R. (2006). Happiness and public policy: A challenge to the profession. The Economic Journal, 116(510), C24-C33. https://www.jstor.org/stable/3590410.
Leung, A., Kier, C., Fung, T., Fung, L., & Sproule, R. (2011). Searching for happiness: The importance of social capital. Journal of Happiness Studies, 12(3), 443-462. https://doi.org/10.1007/s10902-010-9208-8.
MacKerron, G. (2012). Happiness economics from 35 000 feet. Journal of Economic Surveys, 26(4), 705-735. https://doi.org/10.1111/j.1467-6419.2010.00672.x.
Michalos, A. C. (2008). Education, happiness and Wellbeing. Social Indicators Research, 87(3), 347-366. https://doi.org/10.1007/s11205-007-9144-0.
Nasution, A., Rustiadi, E., Juanda, B., & Hadi, S. (2014). Dampak modal sosial terhadap kesejahteraan Rumah Tangga Perdesaan di Indonesia. Mimbar: Jurnal Sosial dan Pembangunan, 30(2), 137-148. https://doi.org/10.29313/mimbar.v30i2.593.
Navaitis, G., Labutis, G., & Kairien?, B. (2016, May). The marital status and the happiness. In Proceedings of the International Scientific Conference. Volume I (Vol. 458, p. 468). http://dx.doi.org/10.17770/sie2016vol1.1513.
Paldam, M., & Svendsen, G. T. (2000). An essay on social capital: looking for the fire behind the smoke. European journal of political economy, 16(2), 339-366. https://doi.org/10.1016/S0176-2680(99)00064-6.
Portela, M., Neira, I., & del Mar Salinas-Jiménez, M. (2013). Social capital and subjective Wellbeing in Europe: A new approach on social capital. Social Indicators Research, 114(2), 493-511. https://doi.org/10.1007/s11205-012-0158-x.
Putnam, R. D. (2000). Bowling alone: The collapse and revival of American community. Simon and schuster.
Rahayu, T. P., & Harmadi, S. H. (2016). The effect of income, health, education, and social capital on happiness in Indonesia. Asian Social Science, 12(7), 75-87. https://doi.org/10.5539/ass.v12n7p75.
Rodríguez-Pose, A., & Von Berlepsch, V. (2014). Social capital and individual happiness in Europe. Journal of Happiness Studies, 15(2), 357-386.
Sacks, D. W., Stevenson, B., & Wolfers, J. (2010). Subjective Wellbeing, income, economic development and growth. https://doi.org/10.1596/978-0-8213-8522-7.
Seligman, M. E. (2004). Authentic happiness: Using the new positive psychology to realize your potential for lasting fulfillment. Simon and Schuster.
Stevenson, B., & Wolfers, J. (2008). Economic growth and subjective Wellbeing: Reassessing the Easterlin paradox (No. w14282). National Bureau of Economic Research.
Subramanian, S. V., Kim, D., & Kawachi, I. (2005). Covariation in the socioeconomic determinants of self rated health and happiness: a multivariate multilevel analysis of individuals and communities in the USA. Journal of Epidemiology & Community Health, 59(8), 664-669. http://dx.doi.org/10.1136/jech.2004.025742.
Tian, G., & Yang, L. (2007). A formal economic theory for happiness studies: A solution to the happiness-income puzzle. Texas A&M University, Department of Economics, College Station. http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.337.4228&rep=rep1&type=pdf.
Tsui, H. C. (2014). What affects happiness: Absolute income, relative income or expected income?. Journal of Policy Modeling, 36(6), 994-1007. https://doi.org/10.1016/j.jpolmod.2014.09.005.
Tsuruta, K., Shiomitsu, T., Hombu, A., & Fujii, Y. (2019). Relationship between social capital and happiness in a Japanese community: A cross?sectional study. Nursing & Health Sciences, 21(2), 245-252. https://doi.org/10.1111/nhs.12589.
Winkelmann, R. (2009). Unemployment, social capital, and subjective Wellbeing. Journal of happiness studies, 10(4), 421-430. https://doi.org/10.1007/s10902-008-9097-2.
Woolcock, M., & Narayan, D. (2000). Social capital: Implications for development theory, research, and policy. The world bank research observer, 15(2), 225-249. https://doi.org/10.1093/wbro/15.2.225.