Regional Disparity and Life Satisfaction

Abstract

This study examines the effects of regional disparity on life satisfaction. Two hypotheses were formulized: a relative income hypothesis focused on intra-area disparity and a housing class hypothesis focused on inter-area disparity.

The dataset was based on a survey in Tama city and included areas showing intra-area homogeneity and inter-area heterogeneity in terms of social stratification. The analysis produced different findings among the age groups. Among males of a productive age, results were consistent with the relative income hypothesis, namely that intra-area individual relative deprivation negatively affected life satisfaction. On the other hand, among elderly male residents, inter-area disparity mattered. Here, average income within an area had a positive effect on life satisfaction. The findings raise the possibility that intra/inter-area disparity leads to regional disassociation.