Determinants of life satisfaction for rural north Indians: Estimation using generalised ordinal logistic regression

The study presents the results of a survey experiment aimed at assessing the level of life satisfaction for rural north Indians and captures the determinants in deciding one’s satisfaction level. The study hypothesised human, material and social capital plays a significant role in determining one’s level of life satisfaction. The study uses individual data from the Sanitation Quality, Use, Access and Trends (SQUAT) survey collected in rural Bihar, Haryana, Madhya Pradesh, Rajasthan, and Uttar Pradesh in 2013-14 from India. The study estimates first, proportional odds logistic regression, followed by Generalised Ordinal Logistic regression techniques. It is evident from the analysis that the overall PO assumption, as well as separate PO assumptions for most of the variables, is violated and, in that case, generalised ordinal logistic regression may provide a better model. From the analysis, it is very clear that for rural north Indians the level of life satisfaction is most affected by health status, possession of agricultural land,and administrative environment of villages (e.g., functioning of Panchayats).