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The Economics of Happiness

Gross National Product? Gross National Happiness?

If positive emotions are more in a person's life and negative emotions are less, it means that person lives happier. The key challenge here is "Can we measure happiness in this situation?" In scientific research conducted within the scope of the concept of happiness economy, happiness has now begun to be measured and many relationships have begun to be established with the data obtained (Günsoy, 2022). On the other hand, Are you happy? Is there a formula for happiness? These questions may be the most frequently used and frequently asked questions in daily life and business environments.

Fifty percent of happiness is carried through one's own genes; The income he earns affects his happiness by ten percent; The approach that the remaining forty percent is obtained from economic, cultural and social relations, therefore happiness can change direction in a positive direction with the positive events that may occur in the forty percent means that it can also increase the happiness-indexed productivity of people in the economic field and business environments.

In scientific research, the formula for happiness is expressed as the proportional result of what is achieved/desired. Even if what a person has achieved, in other words, his income level is less than the desired level, also shows his level of happiness as low; On the contrary, it is argued that if the income is higher than desired, achieving whatever is desired can further increase unhappiness in people, and this is a paradox. Therefore, it is predicted that whether a person's earnings or income is more or less than their optimum needs does not mean that they will make a person more unhappy or happy.

"The Easterlin Paradox, a concept of happiness economics, was first brought to the agenda in the article written by Richard A. Easterlin in 1974. In summary, the economics of happiness suggests that economic development in a society has no relationship with the average level of happiness. The economic growth experienced in the society can only meet the basic needs of the society." Easterlin's suggestion to governments is that at the point where the basic needs of the society are met, they should focus on more gross happiness product, not more gross domestic product (Akın, 2018).

In this context, "Does economic growth improve the human lot? Some empirical evidence" by Easterlin (1974), one of the first studies in the happiness economics literature on whether economic growth increases happiness or not. In his article, Easterlin stated that although he found that there was a relationship between national income per capita and happiness, average happiness in rich countries was not higher than in poor countries. In the United States (USA) between 1946 and 1970, despite an impressive economic growth in that period , stated that Americans did not observe an increase in their average happiness. This result obtained by Easterlin has found its place in the literature as the Easterlin Paradox. The Easterlin Paradox states that happiness at a certain time is related to national income per capita both among nations and within a country, but over time happiness increases with income. indicates that it does not show an increasing trend (it is not related to a long-term trend). The focus of this paradox is not the short-term relationship between economic growth and average happiness, but the search for a long-term trend relationship (Easterlin and Sawangfa, 2010). Easterlin Paradox can also be explained as a phenomenon in which the happiness of individuals increases as per capita income increases, but the increase in the income of the whole society does not increase the happiness of everyone (Kamilçelebi, 2022).

Therefore, according to some opinions; Gross National Product? Gross National Happiness? By comparison, it is argued that choosing the concept of Happiness instead of Output (Income) will increase efficiency in economic areas and that the happiness economy may have a positive effect on the productivity achieved.

As a result, the intensification of socio-economic and cultural phenomena with positive relationships and emotions can mean added value. It is hidden in human nature, that is, in his own essence, and as he attains knowledge, enlightenment, and intensifies emotionally, he recognizes himself and reaches happiness as he transcends himself. It can be thought that this psychological state, which will positively affect life satisfaction, may also increase mutual achievements.

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