Is it Better to Be Optimistic? -- Financial Optimism and Well-Being

摘要: This study investigates whether being financially optimistic has any benefits on objective and subjective well-being. We define financial optimism as the likelihood of a positive outcome relative to rational expectation in an individual’s future situation. analyze data from British Household Panel Survey 1991. found that is negatively correlated with current wealth total wealth. Optimists’ improves few years’ time, although their overall level not significantly higher than non-optimists future. Financial correlations happiness satisfaction A posteriori increase happiness. The results indicate income optimists are rise better off at start. Being provokes but its effect increasing very limited. One should have unrealistic expectations optimisms benefit amplify too much what can do. could be delusion respondents create order feel happy or satisfied themselves. warning here if individual optimistic, his might reduce due potentially low realizations.