ABSTRACT
A review of the literature indicates that until recently little attention has been paid to the effects of the environment on well-being among the aged. This study analyzes data relevant to both the individual and his or her environment from a large (N = 2265) national sample of low- and middle-income elderly. A recursive causal model is presented; the results indicate that perceived health and housing satisfaction contribute the most to well-being among the elderly. In addition, for men and women home ownership was not found to affect well-being positively. For men who owned their own homes lower scores on well-being were reported. The findings also indicate that while the quantity of neighbor interaction benefits the well-being of men, women benefit more from the positive sentiments of sociability in the neighborhood. This study emphasizes the importance of environmental satisfaction and neighborhood sociability as key determinants of well-being in later life.