Happiness efficiency rises with better working conditions, social support and access to nature

Abstract Research on planetary boundaries indicates that current consumption patterns in developed countries are environmentally unsustainable, creating an urgent need to enhance subjective well-being within resource limits. Here, we examine happiness efficiency—how effectively individuals convert resources into subjective well-being—using Japanese survey data. We employ a two-stage approach: robust data envelopment analysis to estimate individual efficiency scores, followed by regression models to identify their determinants. While the drivers of subjective well-being are well established, the determinants of happiness efficiency remain understudied. Adopting a Beyond GDP perspective, we analyze social, environmental, and psychological factors. We find that happiness efficiency increases with better working conditions, social support, access to natural capital, and less materialistic attitudes. These findings highlight policy pathways to improve quality of life without increasing resource use, aligning well-being policies with sustainability.