Scottish Government equality outcomes: age evidence review

Paper that is one of a series written to inform the development of equality outcomes for the Scottish Government. Guidance from the Equalities and Human Rights Commission (EHRC) states that a range of relevant evidence relating to equality groups and communities should be used to help set equality outcomes that are likely to make the biggest difference in tackling inequalities. 

So far so good: age, happiness, and relative income

In a simple 2-period model of relative income under uncertainty, higher comparison income for the younger cohort can signal higher or lower expected lifetime relative income, and hence either increase or decrease well-being. With data from the German Socio-Economic Panel and the British Household Panel Survey, this paper confirms the standard negative effects of comparison income on life satisfaction with all age groups, and many controls.