Progressive taxes can make you happy - new research
Based on a sample frame of nigh on sixty thousand respondents to Gallup research on wellbeing, the research linked people's assessment of personal wellbeing to satisfaction with public goods:
"Well-being was expressed in people’s assessments of their overall life quality, from “worst” to “best possible life,” on a scale of 1 to 10; and in whether they enjoyed positive daily experiences (such as smiling, being treated with respect, and eating good food) or suffered negative ones, including sadness, worry, and shame. Finally, the analysis looked at the participants’ satisfaction with their nation’s public goods, from schools to clean air."
Tax progressivity was measured by comparing the gap between lower and upper tax rates, with correction for factors such as family size, tax benefits, and social security payments.
The results confirm TJN's view that tax systems which are seen to be just, combined with effective delivery of public services, are more likely to contribute to personal wellbeing and social harmony:
"On average, residents of the nations with the most progressive taxation evaluated their own lives as closer to “the best possible.” They also reported having more satisfying experiences and fewer discomfiting ones than respondents living in nations with less progressive taxes."
Clich here to obtain the full report on this fascinating new research.