This article analyses the savings behaviour of natives and immigrants in Germany. It is argued that uncertainty about future income and legal status (in case of immigrants) is a key component in the determination of the level of precautionary savings. Using the German dataset, we exploit a natural experiment arising from a change in the nationality law in Germany to estimate the importance of precautionary ...
Is there a relationship between political participation and individual life satisfaction? The idea that political participation makes people more satisfied with their lives has long been debated. However, the existing empirical research has not been very successful in demonstrating that such a relationship exists while some studies show that instead it is individual life satisfaction that impacts political ...
There is a well-established positive correlation between life-satisfaction measures and income in individual level cross-sectional data. This paper attempts to provide some evidence on whether this correlation reflects causality running from money to happiness. I use industry wage differentials as instruments for income. This is based on the idea that at least part of these differentials are due to ...