Whistling while you work: Happiness is good for productivity

Daniel SgroiThrough a series of experiments, Daniel Sgroi and colleagues examine the relationship between happiness and productivity. They find that a shock to wellbeing, whether short-run and minor or long-run and significant, definitely has effects and these effects are positive and pronounced. While there may be other routes, the effect of a wellbeing shock on focus and worrying is one feasible story of the transmission mechanism that is consistent with their results. In light of their findings, and although how this translates to policy is still quite speculative, it would seem reasonable for management to instigate any measures that are relatively low cost that raise worker happiness.