Does Owning Your Home Make You Happier?
Abstract (via Inder J. Ruprah)
In this paper we present evidence that homeowners are happier than non-homeowners and it is home ownership that causes the difference in happiness. The data used is for seventeen Latin American countries obtained from the Latin Barometer surveys. The association between home ownership and happiness is measured by an ordered logit regression with a comprehensive set of sociodemographic control variable with errors clustered at year and country. Happiness and ownership are positively and statistically significantly related. Causality is determined through nonparametric impact measure via the propensity score matching technique. Homeownership causes increased happiness. The impact result is robust to the problem of hidden bias. The impact conclusion also holds in a meta-impact approach where impacts are calculated for each country separately. Owning your home makes you happier, at least in Latin America.