The Grass is Always Greener?

1. The Grass is Always Greener? The Effect of Moving to a Bigger or Better House on Housing Satisfaction and SubjectiveWell-Being By Chris Foye

2. Previous Studies • Oishi et al (2010) found in study of German Socio Economic Panel that housing satisfaction increased (persistently over 5 years) after moving for housing related reasons but no increase in life satisfaction. • Two reasons offered: a) Housing unimportant life domain b) Positives of moving outweighed by negatives. • This study applies Oishi’s study to UK context and improves on it by; 1) Looking at gender, personality, and age as moderators 2) Including costs associated with moving 3) Looking at General Happiness Questionnaire as well as Life Satisfaction

3. Methodology • Used British Household Panel Study • Individuals selected if; • Moved house within GB only once in 7 year period • Responded “Bigger House”, “Better House” or “Problems with previous accommodation” when asked for first reason for moving • Observed both sides of move • Aged between 16-64 • 1350 individuals and 8440 observations from 1991-2008 • Split observations into 7 groups and used fixed effects regression.

4. Methodology • WBit = αi + β’Xit+ M-2,it + M-1,it + M0it + M1it + M2it + M3it + εit X consists of: Age (and sq.), Log Income, Highest Qualification, Health Indicators, Economic Status, Marital Status, Children, 18 Regional Dummies, Caring and Tenure. • M-3,it(2-3 Years Before the move) has been dropped so it acts as the reference group. • Males and Females analysed separately for three reasons; • Housing more important domain for women in terms of LS • Men and women have been found to adapt differently to life events • Women tend to report more extreme levels of subjective well-being than men

5. Significant at 0.01 Significant at 0.05 Significant at 0.1 Results – Housing Satisfaction

6. Significant at 0.01 Significant at 0.05 Significant at 0.1 Results – Moving House and Life Sat

7. Significant at 0.01 Significant at 0.05 Significant at 0.1 Results – Moving House and GHQ

8. Discussion • Housing satisfaction increases but there is evidence of adaptation contrary to Oishi et. Al. • Some evidence of life satisfaction increase for females but not lasting and results insignificant. • Why so little impact on subjective well-being in general? • Costs associated with moving? Included some potential costs and no change in significance of results. • Perhaps lack of space not detrimental to life satisfaction (Fujiwara, 2013) regardless of improvement in housing satisfaction.

9. Summary of Results Notes *** p<0.01, ** p<0.05, * p<0.1