Individuals' Financial Satisfaction and National Priority: A Global Perspective.

ABSTRACT

The purpose of this study is to examine the association between financial satisfaction and individuals' preferences for various national priorities (including economic growth, national defense, freedom of speech, and having a beautiful nation). Using the sixth wave of World Value Survey (2010-2014) data for 60 countries, our Probit regression analyses show a positive and significant relationship between individuals' financial satisfaction and individuals' preferences for freedom of speech and having a beautiful nation. We also find that financial satisfaction is negatively associated with the priority of economic growth but not statistically related to the priority of national defense. These findings are robust when we use a Probit model with endogenous regressors and country-level data with a 2SLS estimator. The regression results also show that the preference for a stronger national defense is higher among individuals who are older, married, nationalistic, educated and have jobs in the public sector. Finally, we find that people with lower education and income and those with full-time employment and non-government jobs are more interested in the economic growth of their countries.