Life Satisfaction and its Distribution in Germany: A Survey

There is an on-going debate in Germany on the dynamics of economic inequality, its consequences and the question of how inequality, insofar as it is seen to be too high, should be lowered. The focus is on income inequality since this is well defined, can be measured and is the main driver behind asset inequality. Nevertheless, focusing on income alone is too narrow a perspective. The article analyses the distribution of life satisfaction in Germany. The results show that since 2005 life satisfaction has increased in most socio-demographic groups and the unequal distribution of life satisfaction has declined significantly since 2005. The decline in unemployment is the most important driver of this development at both the individual and the general levels.