Alcohol Consumption and Life Satisfaction: Evidence from Russia

E. Krekhovets, L. Leonova


Alcohol consumption is known to have an impact on various aspects of individual’s life. This paper is based on the idea that the alcohol consumption is very likely to influence on subjective well-being. Using data from the Russia Longitudinal Monitoring Survey of HSE (RLMS-HSE) in this paper the links between alcohol consumption and subjective well-being is examined. RLMS-HSE data shows that a significant number of individuals consumed alcohol in the last month in Russia, the proportion of men drinkers is extremely high, and is around 60-70%. Two sources of endogeneity are discussed in the paper: individual characteristics, such as one’s value system and traits of character; and the existing environment, for example, a negative macroeconomic situation. Empirical estimates are obtained using probit adapted OLS approach. Results suggest that reasonable consumption of alcohol improves the level of life satisfaction. However, alcohol abuse produces negative effects on life satisfaction.

DOI: 10.5901/ajis.2013.v2n8p98

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Academic Journal of Interdisciplinary Studies ISSN 2281 3993(Print) ISSN 2281-4612(Online)

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