The Impact of Social Capital on Human Wellbeing: Empirical Evidence from Azad Jammu and Kashmir (Pakistan)

Abstract

Maximization of wellbeing is the exceedingly targeted objective that conventional economics going forward. Keeping in view its central place, economists developed well-structured models and tools in order to measure and investigate wellbeing. In received literature, on the subject, various factors have been investigated that affecting wellbeing. However, wellbeing which is viewed from different approaches and is of a different form is not shaping equally with different types of factors. In this context, this study is an attempt to investigate how subjective wellbeing is affecting by social capital. The basic hypothesis is that “individual wellbeing moves parallel with its social capital”. The hypothesis is empirically tested using primary data set of 848 individuals collecting form Azad Jammu and Kashmir (Pakistan). The empirical estimates indicate that keeping other factors constant, an individual that embodied more social capital enjoy more wellbeing in their life. JEL Classification: B24, I30, C43

The role of religious capital in shaping wellbeing of individuals

“…On the other hand, Divine Economics added also some divine / Spiritual / Religious variables to capture the wellbeing of an individual. In this study we follow the model derived by [17,19,32]. considered the religion in utility function by using a variable in model as below, where 'C' is the consumption 'D' donation 'L' leisure 'V' voluntary work 'R' is the time allotted to religious practices (worship, learning, preaching and etc.).…”

A Holistic Approach towards Divinity in the World

“…The belief pattern provides the enabling environment for DC attributes to be followed. Religious orientations play key role in shaping human behavior (Hamdani et al, 2002;Munir & Hamdani, 2017). The table 1 provides the definition of these components as follows:…”