THE ROLE OF INCOME LEVEL AND MONEY ATTITUDE IN THE DETERMINATION OF SUBJECTIVE ECONOMIC WELFARE

Abstract

The results of the study devoted to the role of monetary income level and money attitude in the determination of subjective economic welfare are presented. It is revealed that a general level of subjective economic welfare and positive self-assessment of an individual life’s level tend to grow as an income level increases, which indicates a high degree of economic welfare importance as an objective factor in the determination of subjective economic welfare. It is established that an individual’s attitude towards money is a key psychological factor that determines subjective economic welfare. A statistically significant dependence is found between the factors of money attitude and integral indices of subjective economic welfare. Financial concerns are the most important factor among the monetary attitudes under consideration. The degree of importance of money attitude factors varies according to the level of subjective economic welfare. The factors of “financial concerns” and “financial pragmatism” are mostly expressed within the individuals with a low level of subjective economic welfare. An increase in the level of subjective economic welfare is followed by a substantial and progressive decrease in importance of these factors. As the level of subjective economic welfare rises, the importance of the “financial vanity” factor is linearly increasing.