Abstract
This paper analyzes the determinants of the self-reported income and food sufficiency in Brazil, highlighting how these subjective measures of wellbeing are affected by relative conditions. Analyses are based on pooled data from the 2002/2003 and 2008/2009 Brazilian Family Budget Survey and on estimates of the multinomial relation between income and food sufficiency with absolute and relative indicators. The paper highlights that living in a more affluent neighborhood does matter in self-reported perceptions of wellbeing. Stated income sufficiency depends positively on absolute family income and negatively on relative neighbor income. Moreover, neighborhood education and regional inequality affect both stated perceptions of income and food sufficiency. The paper concludes that improving personal income and education, as well as reducing inequality, is one of the most effective ways to improve both the quality of life and the general perceptions of wellbeing in society.
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Notes
Monetary values were deflated using the National Consumer Price Index (INPC). From January 2003 to 2009, the cumulative inflation measured by INPC was 39.1 % (values obtained from IPEADATA website. Available at: <http:www.ipeadata.com.br>. Access in: November 2010).
These incomes are relatively high in Brazil. In 2009, <5 % of the Brazilian population had a monthly per capita income higher than 2,750 Reais.
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Appendix
Appendix
Relation between age (decades) and the total estimated effect on propensity to income and food sufficiency. The regression lines are based on the following equation: effect (income sufficiency) = Age (−0.603) + Age 2 (0.049); effect (food sufficiency) = Age (−0.296) + Age 2 (0.025)
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Gori-Maia, A. Relative Income, Inequality and Subjective Wellbeing: Evidence for Brazil. Soc Indic Res 113, 1193–1204 (2013). https://doi.org/10.1007/s11205-012-0135-4
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DOI: https://doi.org/10.1007/s11205-012-0135-4