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<p>This study updates the evidence regarding the income-happiness relationship in China over the past two decades. Using national representative data from the Chinese General Social Survey (CGSS) waves 2003–2021, the study reveals a substantial increase in average happiness alongside steady real income growth. Income growth contributes to approximately 28% of rural residents’ happiness improvement and 22% of that of urban residents during this period. We find the correlation of income with happiness is positive and robust when examined using both regional aggregate data and individual data, in both long-term and short-term analysis. However, the importance of income in influencing happiness declines constantly over time, in terms of both the gradient and the predictive power. The trend is common for subgroups divided by income level, gender, and urban-rural residency. Non-economic factors like education and marriage become increasingly important. Furthermore, the study finds a negligible correlation between local average income and happiness and highlights the persistent urban-rural happiness gap.</p>

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China’s Happiness in the New Century, 2003–2021

  • 期刊论文

  • 发表日期：

    2025年9月17日

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  • Jinyang Yang,
  • Ziyi Yang

摘要

This study updates the evidence regarding the income-happiness relationship in China over the past two decades. Using national representative data from the Chinese General Social Survey (CGSS) waves 2003–2021, the study reveals a substantial increase in average happiness alongside steady real income growth. Income growth contributes to approximately 28% of rural residents’ happiness improvement and 22% of that of urban residents during this period. We find the correlation of income with happiness is positive and robust when examined using both regional aggregate data and individual data, in both long-term and short-term analysis. However, the importance of income in influencing happiness declines constantly over time, in terms of both the gradient and the predictive power. The trend is common for subgroups divided by income level, gender, and urban-rural residency. Non-economic factors like education and marriage become increasingly important. Furthermore, the study finds a negligible correlation between local average income and happiness and highlights the persistent urban-rural happiness gap.