Well-being Changes from Year to Year: A Comparison of Current, Remembered and Predicted Life Satisfaction

I study yearly changes in personal well-being combining data on current, retrospective and prospective life satisfaction from the German Socio-Economic Panel. Predicted and remembered changes in life satisfaction are both positive on average and match well, whereas the average year to year-change inferred from reports of current life satisfaction is negative. Retrospective assessments of past well-being are strongly influenced by current life...