Examining the Determinants of Poland’s Middle Class Life Satisfaction

Abstract

AbstractRecent works suggest that the increasing income inequalities decreased the middle class size and threatened life satisfaction (LS). However, no such studies link LS with middle-income class problems. The present study aims to fill this gap and characterize LS across the middle-income class in Poland. The main novelties are the Satisfaction with Life Scale (SWLS) to measure LS of the middle-income class in Poland and the methodological approach based on classification-regression trees (CART) to identify the determinants of LS. The analysis is conducted on the new database obtained from the survey of members of the middle-income class in Poland divided into three subgroups: the lower-middle-income class, the mid-income middle class, and the higher-middle-income class. For comparison, the low-income and high-income classes were also considered. Based on the SWLS results, relatively low diversity in middle-income class LS was identified. However, the inter-class comparison revealed that LS increased with belonging to a higher income class. The CART results support the primary importance of economic conditions such as, for instance, wealth and the level of savings in determining the middle-income class LS and show that their effect depends on their characteristics like professional status.