1. How do researchers validate self-reported measures of happiness?

• A. By correlating people's income with their responses to "happiness questions"
• B. By correlating personal evaluation of happiness with the average evaluation by friends and colleagues
• C. By monitoring person's heart rate when they are hooked up to a lie detector
• D. Both A and B are correct

2. Life satisfaction

• A. Is a cognitive evaluation of one's life
• B. means the feelings of joy and happiness
• C. Is the same as Eudaimonia
• D. All of the above

3. Which of these are related to the concept of happiness?

• A. Positive affect
• B. Life Satisfaction
• C. Eudamonia
• D. All of the above

4. The Easterlin Paradox is called a paradox because

• A. Richer people are not usually much happier than poor people as they should be
• B. As income raises over time happiness levels should also increase
• C. Happiness did not increase along with increased income in developed countries even though richer people are generally happier
• D. all of the above

5. Standard Economic theory does NOT include which of the following

• A. Employs an "objectivist" position, observing the choices made by individuals.
• B. Assumes that individual utility only depends on tangible goods, services and leisure.
• C. Utility is inferred from behavior (i.e. revealed preferences), and is in turn used to explain the choices made.
• D. Assumes that individuals often mispredict utility

6. According to the Maslov's Hierarchy of Needs model

• A. Self-realization is the most important human need
• B. The basic needs for sustenance have to be met first before an individual will consider higher level needs
• C. If the basic levels of needs are not met, individual will be anxious and tense
• D. All of the above