There are two approaches to measure welfare known as subjective and objective. Happiness economy deals with the analysis of data associated with subjective welfare indices. The present paper analyses micro subjective welfare data about 4620 observations collected in 2003 and 2005, and tries to identify factors affecting subjective welfare in Iran based on different sexes. Research findings categorise income, profession, individual health, religious beliefs, family ties, age, and sex among factors which affect the welfare level of Iranian citizens.

JEL Classification Codes: I30, I31, I38