
Syllabus: Important International institutions, agencies and fora
Context
- The World Happiness Report 2025 ranks Finland first for the eighth time, while India stands at 118 with a score of 4.389.
- Pakistan ranks 109, raising questions about the meaning and measurement of “happiness”.
Limits of Current Metrics
- Rankings rely on the Gallup Cantril Ladder, where people rate their lives from 0–10.
- Assessments combine six factors:
- GDP per capita, social support, life expectancy, freedom, generosity and corruption perception.
- Perceptions are unstable, and lower expectations often lead to higher reported happiness.
- Democracies like India experience reduced satisfaction due to rising aspirations and constant public scrutiny.
- Nordic countries score high because of deep social trust, despite high taxation.
India’s Position Explained
- India’s economic strength contrasts with its lower ranking due to trust deficits and shifting social connections.
- Growing migration and digital dependence weaken real-world community networks, producing prosperity without proximity.
- Report findings emphasise that social trust and belief in community kindness predict happiness more reliably than income.
Perception Bias and Democratic Penalty
- Critics argue global indices reflect perception-based biases shaped by small expert groups.
- Controlled or one-party systems appear more stable because dissent is muted.
- India’s low score may reflect democratic self-critique, not genuine unhappiness.
Underlying Social Dynamics
- India’s best ranking period was 2022, following welfare measures after COVID-19.
- Low rankings historically coincide with corruption scandals or economic slowdowns.
- Informal community trust in India remains strong but is often overlooked by western metrics.
Pathways to Improve Well-being
- Strengthen social capital through community spaces and inter-generational engagement.
- Improve institutional trust via transparent public services and simpler governance processes.
- Integrate mental health into economic policy, recognising its productivity benefits.
- India’s ongoing aspirations indicate not unhappiness but ambition for better living standards.

