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September 3, 2026WorldOpen Access

Does Geographic Proximity Matter for Happiness? Spatial Panel Evidence from the European Union (2015–2024)

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Authors

JSJorge de Andrés Sánchez

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Overview

Spatial panel analysis finds happiness clustering across European Union countries stems from shared socioeconomic factors, indicating that regional wellbeing lacks direct cross-border contagion.

Key Points

  • Investigate whether geographic proximity directly influences subjective wellbeing across the European Union or whether clustering is driven by shared socioeconomic determinants.
  • Analyzed a panel of 270 observations across 27 European Union Member States from 2015 to 2024 using Cantril Ladder scores and six World Happiness Report determinants.
  • Tested spatial autocorrelation using Moran’s I and estimated non-spatial random effects alongside spatial autoregressive (SAR-RE), spatial error (SEM-RE), and combined SARAR-RE models with a three-nearest-neighbor weight matrix.
  • GDP per capita, social support, and freedom showed statistically significant positive associations with happiness, perceptions of corruption showed a negative association, and healthy life expectancy and generosity were not statistically significant.
  • Non-spatial models with country random effects and year fixed effects absorbed spatial dependence, leaving no significant residual spatial autocorrelation across the 2015–2024 period.
  • Spatial econometric models (SAR-RE and SEM-RE) did not significantly improve model fit, demonstrating that happiness clustering reflects geographic concentration of socioeconomic factors rather than direct contagion.

Cite This Study

Jorge de Andrés Sánchez (2026) studied this question.

synapsesocial.com/papers/6a993586636c6408cfa7db8bhttps://doi.org/10.3390/world7090152
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