Public sector jobs and subjective well-being in China

This paper focuses on demonstrating the nexus between public sector jobs and subjective well-being by applying China Household Finance Survey data and exploring the potential transmission channels behind the connection. An instrumental variable and the propensity score matching methods are utilized to address hidden endogeneity bias. Our findings confirm that Chinese public sector jobs have a constructive effect on SWB. From the perspective of work allowance and marriage-matching, mechanism analysis justifies that working inside the system indirectly affects SWB through receiving higher annual bonuses and marrying people who also work within the system or have a higher education level.