Richard A. Easterlin, Father of Happiness Economics, passes away at 98

In the early hours of January 2, 2025, Richard A. Easterlin, the “Father of Happiness Economics,” died at 98. Easterlin’s research on economic growth and happiness is groundbreaking. It has changed how economists, policymakers, and the public view the link between wealth and well-being.

A Revolutionary Theory

Easterlin’s work fundamentally challenged traditional economic thought. His most influential work, the Easterlin Paradox, argued that, beyond a point, more wealth does not lead to greater happiness.

His 1974 paper, “Does Economic Growth Improve the Human Lot?,” first articulated this idea. It questioned the assumption that economic growth always improves quality of life.

The Easterlin Paradox said that, in one country, income may link to happiness. But, in wealthy nations, higher incomes have little effect on well-being.

This idea was revolutionary. It pushed economists to rethink how to measure progress. It suggested that social relationships, mental health, and life satisfaction might be as important, or more so, than financial success in determining happiness.

Shaping a New Field

Easterlin’s theories gave birth to a new field of study: happiness economics. Over the years, researchers have built on his work.

They have studied how income inequality, poverty, and well-being intersect. Easterlin’s theories urged a shift in policymaking.

They encouraged leaders to focus on broader measures of progress instead of fixating on GDP. His influence is seen in the growing interest in well-being. Governments worldwide now use quality of life indicators

Mainstream economists initially resisted his findings. But, they are now valid.

As more data supported his ideas, the Easterlin Paradox gained traction. It changed how governments view their citizens’ well-being.

A Lifetime of Academic Contributions

Born in 1926, Easterlin spent much of his life dedicated to academic pursuits. He earned his PhD from the University of Pennsylvania.

He later became a professor at the University of Southern California, where he spent most of his career. Easterlin’s work reached globally.

He held visiting posts at Oxford and the World Bank, making him a leading figure in the global economics community.

Beyond his academic success, Easterlin was warm and approachable. He mentored generations of students, urging them to explore the link between economics and human well-being.

His work was both theoretical and personal. He sought to connect economics with the lived experiences of people worldwide.

A Lasting Legacy

Easterlin’s death marks the end of an era in the study of happiness, but his influence will endure. His work has provided policymakers with a new lens through which to view economic success and the well-being of citizens. In a time of rising inequality and environmental risk, Easterlin’s focus on quality of life over wealth is more relevant than ever.

Easterlin’s ideas were not universally embraced in his lifetime. But, their importance has grown over the decades.

Today, his work inspires scholars, economists, and politicians. They seek to understand the factors that contribute to happiness in a complex world.

Richard A. Easterlin’s death is a loss. He was a visionary who revolutionized economics by focusing on people’s lives, not just numbers.

His views on wealth’s limits and the need for connection still resonate in global debates on measuring prosperity. As the “Father of Happiness Economics,” Easterlin will inspire future economists and policymakers. They will seek a better understanding of well-being.