This study investigates the determinants of individual subjective well-being in Italy using the 2004, 2006 and 2008 waves of the Bank of Italy Survey on Household Income and Wealth (Shiw). For Italy empirical analysis confirms the previous evidence provided in the literature on happiness. Among our new findings, the type of employment and associated contractual conditions emerge as crucial factors behind subjective well-being. Workers employed in the public sector are found to be much happier than private employees (even when controlling for income). The data show that the reported level of happiness is lower for workers on temporary contracts and among individuals living in a region other than that of birth.
Keywords: Happiness, Subjective well-being, Unemployment, Relative income, Employment conditions, Health status
Jel Code: A130, D600, I310, J450, I100