Assessing Happiness: An Evaluation of the Latin American Paradox in the United States

Abstract: This research project investigates an array of pecuniary and non-pecuniary factors and their effect on happiness trends within the United States’ Latino population. Happiness Economics is a new field of economic study coined in the 1970s by Richard Easterlin. This new field of study laid the foundation for further research and, ultimately, led to the discovery of the Latin American Paradox. The Latin American Paradox identifies high levels of happiness amongst Latinos within Latin America and the United States, with low levels of economic prosperity. This study uses Mental Health data from IPUMS Health Survey to investigate the different factors that play a role in the persistence of the Latin American paradox within the United States. Findings suggest that Latinos in the United States are less sensitive to economic factors (compared to Non-Latinos) and it is socio-cultural variables that act as a significant determinant of happiness within the United States’ Latino population