1. Introduction
With the economic development in the past decades, the income and consumption of residents in China have increased continuously. For example, the gross domestic product in China increased from 12,171.74 to 114,366.97 billion during the period from 2002 to 2021, and the average consumption of residents rose from CNY 4270 to CNY 31,072 in the same period. However, there were also some economic fluctuations when economic shocks or COVID-19 occurred. For example, the 2008 financial crisis led to an increase in unemployment and a slowdown in economic growth in China, although the negative economic shock was absorbed and economic growth gradually recovered after a few years. Urban resilience can partly explain the above phenomenon whereby the economic system of a country resists a negative economic shock, recovers from the shock, and returns to an equilibrium again [
1,
2,
3]. Up to now, most scholars have focused on the clear definition of resilience and have developed three definitions: engineering resilience, ecological resilience, and adaptive resilience. In addition, the influencing factors of urban resilience, such as industrial diversity, technological relatedness, or human capital, have aroused heated discussions [
4,
5]. However, few studies have paid attention to the consequences of urban resilience or explored the effect of urban resilience.
On the other hand, the subjective well-being and life satisfaction of residents have received attention in China. In the report of the 19th National Congress, the importance of people’s happiness and sense of security was emphasized, and it was pointed out that the public service system should be improved, and social justice should be promoted to reach the above goal. Recent subjective happiness literature in China has mostly been concerned about the role of hukou status, environmental quality, housing characteristics, housing prices, or income, while explanations of the power of the above factors have been relatively limited [
6,
7,
8,
9]. Further research is needed to analyze why there is a difference in residents’ subjective happiness in different cities. Therefore, the link between the urban resilience of cities and residents’ subjective happiness is further explored to enrich the existing literature.
In this study, we match data from China Family Panel Studies with the urban resilience data of each city and construct panel data to examine the role of urban resilience in residents’ subjective happiness. Findings show that, as urban resilience increases, residents feel more satisfied about their life, and each sub-class resilience index (ecological resilience, economic resilience, infrastructure resilience, and social resilience) of the four aspects is positively related to residents’ subjective happiness. Additionally, the effect of urban resilience is much larger and more significant for residents with a high education level or who are living in large cities. Residents are also more likely to have a higher subjective happiness level as urban resilience rises if they live in cities with a lower economic development level. In the robustness checks, after substituting the urban resilience indicators and changing the estimation method, the conclusion and results remain consistent. Three potential mechanisms are explored in this study. First, the increase in economic resilience promotes the rise of personal income and family consumption, which is positively linked to residents’ subjective happiness. Second, higher ecological resilience is beneficial for the improvement of residents’ health status, reduces the probability of having diseases, raises their self-rated health, and enhances their subjective happiness. Third, an increase in social and infrastructure resilience leads to a rise in residents’ social trust and social integration (e.g., increasing their donation behavior or improving their attitudes towards employment problems), which exerts a positive influence on shaping residents’ subjective happiness.
Therefore, our study contributes to the existing literature in the following ways. First, we construct a comprehensive urban resilience index with principal component analysis and calculate four sub-class resilience indices: the ecological resilience index, economic resilience index, infrastructure resilience index, and social resilience index. Second, we regard urban resilience as one of the influencing factors of people’s subjective happiness and examine the role of urban resilience in individual life with panel data. Third, we further add to the existing literature by exploring the possible channels through which urban resilience exerts a significant influence on people’s subjective happiness, such as through increasing social trust, increasing people’s income and consumption level, or enhancing their health status.
Overall, the aims of this study are as follows:
to examine the effect of the overall urban resilience index and sub-class urban resilience indices (ecological resilience, social resilience, infrastructure resilience, and economic resilience) on residents’ subjective happiness with a nationally representative survey;
to analyze the heterogenous effect of urban resilience on different groups categorized by residents’ year of schooling, regional economic development level, and city size;
to explore the underlying mechanisms of the effect of urban resilience, such as increasing personal income and consumption, enhancing residents’ health status, and strengthening social integration and social trust.
The remainder of this study is organized as follows.
Section 2 reviews the relevant literature. The data source, descriptive statistics, and estimation method are presented in
Section 3. The baseline results, heterogeneous results, and robustness results are shown in
Section 4.
Section 5 presents the possible mechanism results.
Section 6 concludes the paper.
2. Literature Review
The concept of regional resilience has aroused heated discussions in recent studies [
2,
10,
11,
12,
13]. It is applied in multiple fields, including ecological, engineering, and economic and social fields [
14,
15]. For example, Li et al. [
14] examined the ecological resilience in relation to the 1988 Yellowstone fire and found that precipitation and soil pH play a critical role in post-fire forest resilience. The existing economic and urban literature has reached a consensus on the notion of urban resilience; a region can be called a resilient one when it resists the negative economic shock during a crisis period, recovers from the crisis, and bounces back onto the growth path [
3,
10,
16]. Christopherson et al. [
10] discussed the definition of regional resilience from the perspective of time and space and regarded a region as resilient one if it maintains economic growth in the relatively long term when it faces a negative economic shock, such as an economic crisis. Martin [
2] analyzed the idea of regional resilience in three different scenarios, compared the differences between ‘engineering’ resilience, ‘ecological’ resilience, and ‘adaptive’ resilience, and emphasized how a regional economy can adapt its structure and be reconfigured to maintain a growth path in the long run in the third scenario. Martin and Sunley [
3] divided the resilience process into four elements, vulnerability, shocks, resistance, and robustness, and provided a general definition of resilience—the developmental and long-run growth path of a region—and its associations with employment, output, and income trends. Martin et al. [
13] analyzed why regions respond to recessions differently, explored the role of urban resilience and economic structure, and found that economic structure plays a critical role in two reactions: recoverability and resistance. Meerow et al. [
12] summarized the definitions of regional resilience in recent, relevant studies, proposed a new definition of resilience, and emphasized six conceptual tensions, including the notion of equilibrium, timescale of action, and pathway to resilience.
Some of the literature has attempted to explain why regions react to an economic crisis differently (e.g., the 2008 financial crisis) and which attributes lead to the differentiated reactions [
17,
18,
19,
20,
21,
22]. For example, Dubé and Polèse [
17] used the 2007–2009 recession as an exogenous economic shock, explored the economic resilience in Canadian regions, and concluded that the responses of the regions to a shock are partly consistent with the notion of resilience. In a Slovak context, Hudec et al. [
18] constructed the resilience capacity index (RCI) to measure how regions recover from an economic shock with data from 79 districts during two periods—2008–2012 and 2012–2014—and found that more export-oriented districts with higher resilience capacity are exposed to higher vulnerability measured by a relative change in unemployment. Employing an averaging approach, Kitsos and Bishop [
19] assessed the recession impact through measuring the employment differences between the pre- and post-recession period and found that the recession impact was deeper in regions with higher employment rates in 2007. Balland et al. [
22] used the data from metropolitan areas in the USA from 1975 to 2002 to analyze the resilience of cities and found that the effect sizes of technological crises on cities are different and depend on the knowledge base level of each city. Lagravinese [
20] examined whether the recession effect varies across Italian regions by measuring regional resilience by the percentage changes in employment and concluded that regions with a higher proportion of public employees have a greater capability to resist the negative economic shock.
Another line of the literature examined the sources and drivers of urban resilience empirically [
5,
23,
24,
25,
26,
27,
28,
29]. Giannakis and Bruggeman [
29] explored regional disparities in economic resilience in the European Union and found that agriculture is one of the most important contributors to economic resilience in intermediate and rural areas. Bristow and Healy [
26] found that, compared with other cities, innovation leaders at a time of crisis have advantages in resisting economic shock and recovering from it. Based on a spatial panel model in the US and counterfactual predictions of employment levels, Doran and Fingleton [
30] found that industrial structure contributes positively to regional economic resilience. Di Caro [
31] used data from Italy from 1992 to 2012 and further concluded that regional differences in economic resilience can be partly attributed to economic diversity, human and social capital, or export performance. Cainelli et al. [
5] analyzed the relationship between industrial relatedness and regional economic resilience with data from 16 countries and concluded that technological relatedness exerts a positive influence on economic resilience in the short run. Holl [
4] explored the employment differences among different areas in Spain, finding that human capital is a key determinant of local resilience. Nyström [
27] focused on economic resilience to displacements and found that both industrial variety and regional attractiveness are positively correlated with regional resilience to displacement.
Recent subjective happiness literature has focused on the role of personality, income, religion, transportation, unemployment, and housing prices in people’s subjective happiness [
6,
32,
33,
34,
35]. Friman et al. [
33] examined whether daily travel, such as work commuting or shopping trips, affects people’s subjective happiness and found that daily travel shows significant correlations with emotional well-being and life satisfaction both directly and indirectly. Pöhls et al. [
36] explored the correlation between religiosity and subjective happiness and pointed out that, only in religious countries, the subjective happiness level of non-religious people is relatively lower. Angelini et al. [
34] verified the direct link between cultural assimilation and immigrants’ subjective happiness with panel data from Germany, which is unmediated by wages or employment. Focusing on the role of housing prices, Liao et al. [
6] analyzed how housing prices affect migrants’ subjective happiness and found that family separation and long working hours are possible mechanisms behind the negative effect of housing prices on their subjective happiness. Gorry et al. [
37] investigated the effect of retirement on personal health and subjective happiness and found that retirement improves personal subjective happiness, and such improvement occurs within the first four years of retirement.
To sum up, the existing literature mainly discusses the notions of urban resilience, explores the critical determinants of urban resilience in both developed and developing countries, and explains why regions react to shock differently [
5,
19,
26]. Fewer studies explore urban resilience in the context of China, and they mainly focus on the drivers of urban resilience [
38,
39]. Few studies pay attention to how urban resilience affects individual life and residents’ subjective happiness with micro surveys or regard urban resilience as a critical factor for individual subjective well-being. Additionally, the underlying mechanism behind the effect of urban resilience remains unexplored.
5. Mechanism Results
These findings in the previous sections show that urban resilience has a beneficial effect on residents’ subjective happiness. Apart from the direct effect of urban resilience, we attempt to further explore the possible channels through which urban resilience shows significant correlations with residents’ subjective happiness. Three potential mechanisms are examined in this section. First, if residents live in cities with a higher economic resilience value, their income and family consumption are relatively higher, which is positively correlated with their subjective happiness. Second, the increased ecological resilience is beneficial for the improvement of residents’ health status, such as decreasing the probability of having diseases or increasing their self-rated health, and so shows positive correlation with residents’ subjective happiness. Third, a rise in the infrastructure and social resilience of cities leads to an increase in residents’ social integration and social trust level, such as increasing their donation behavior and improving their attitudes towards the employment problem in the country, which raises their subjective happiness.
5.1. The Increase of Income and Consumption
The economic resilience of cities exerts a positive influence on residents’ income and consumption level. For example, if the economic development level, per capita GDP, and the proportion of tertiary industry in GDP of cities are higher, more job chances are provided in these cities, and it is more likely for residents to be able to improve their income level and increase their family consumption in cities. Increased income and family consumption are conducive to satisfying personal daily needs, increasing satisfaction with living standards, and improving residents’ subjective happiness [
43].
To verify the above hypothesis, four indicators of income and consumption are selected from the survey: personal income, expenditure on clothing, expenditure on heating, and other expenditure. Respondents’ answers are about the composition of family consumption in the past 12 months. Three consumption indicators are used to explore the underlying mechanisms of the link between economic resilience and residents’ subjective happiness. Apart from the family expenditure on clothing and heating, other expenditure (e.g., purchasing lottery tickets or paying fines) is also chosen.
Table 9 shows the results. In column (1), as the economic resilience of cities rises, there is an increase in residents’ income, which is significant at the 1% level. Columns (2) to (4) present the results of the relationship between economic resilience and residents’ family consumption. The economic resilience of cities is significantly and positively correlated with residents’ expenditure (e.g., expenditure on clothing or heating and other expenditure), which is significant at the 1% level. In general, the increase of economic resilience leads to a rise in residents’ family consumption, which satisfies residents’ daily needs better and improves residents’ subjective happiness and life quality. It supports our hypothesis that, if residents live in cities with higher economic resilience, their income and family consumption are relatively higher, which improves their subjective happiness.
5.2. The Improvement of Health Status
Environmental quality has been verified as a critical determinant of residents’ health status. For example, improved air quality and decreased air pollutants lead to a decrease in the probability of having chronic disease or respiratory disease for residents [
44]. Additionally, the urban green spaces and greening rate of cities provide long-term health benefits to residents in relation to mental health and physical health and reduce residents’ health expenditure [
45,
46]. Hence, if the ecological resilience of cities is higher, the greening rate and the green space area are larger, and the industrial pollutant emissions are lower, residents are less likely to suffer from chronic diseases or physical discomfort. The environmentally friendly quality enhances the health status of residents and increases their subjective happiness in cities.
To verify the above hypothesis, four health variables are selected from the survey: self-rated health, chronic disease, physical discomfort, and being overweight. Respondents are asked how they would rate their health status. The answers are scored from 1 (excellent) to 5 (poor). A dummy variable is constructed based on the above question and equals 1 if residents think their health status is excellent or very good. A higher value represents better self-rated health of residents. Second, respondents are asked “have they had any doctor-diagnosed chronic disease in the past six months”. A dummy variable is constructed to reflect their health condition or having a chronic disease and equals 1 if they have a chronic disease. Third, the survey also has a question of whether respondents have felt any physical discomfort in the past two weeks. A dummy variable is constructed and equals 1 if respondents answer “yes”. Lastly, BMI is calculated according to residents’ height and weight, and a dummy variable is constructed to reflect whether residents are overweight or not (BMI is more than 24).
The results are presented in
Table 10. In column (1), the ecological resilience of cities is positively related to the self-rated health of residents, which is significant at the 5% level. As the ecological resilience rises, people are more satisfied with their health status and tend to rate their self-rated health as “excellent”. In columns (2) to (4), we draw a similar conclusion; the ecological resilience of cities plays a positive role in reducing the probability of having chronic disease, feeling physical discomfort, and being overweight for residents, which is significant at least at the 5% level. The above results indicate that the health status of residents is better when they live in cities with higher ecological resilience, and they are less likely to suffer from diseases or feel physical discomfort, which is beneficial for the improvement of their subjective happiness.
5.3. The Increase of Social Integration and Social Trust
Residents feel more satisfied and have a higher social integration level when they live in cities with a higher infrastructure level and enjoy medical, public transportation, and electricity services. Additionally, having a lower unemployment rate or more teachers and doctors is beneficial for the formation of a good social atmosphere, which is conducive to the rise of social trust and social identity and improves residents’ subjective happiness [
47]. In short, infrastructure resilience and social resilience may improve residents’ subjective happiness level through strengthening their social integration level and raising their social trust.
To verify the above hypothesis, four indicators about social integration and social trust are selected from the survey: the assessment of employment problem and medical service problem, social trust, and donation behavior. The survey has two questions relating to residents’ attitudes towards the employment problem and the medical service problem in China. Answers range from 0 (not severe) to 10 (extremely severe). Two dummy variables are constructed to reflect residents’ assessment of the above problems and equal 1 if the original indicator is more than 8. Second, respondents are asked “whether they think that most people are trustworthy”. A dummy variable is constructed and equals 1 if residents think that most people are trustworthy, representing a higher social trust level. Last, respondents are interviewed “whether they have donated to any organizations or individuals in the past 12 months”. We use it as a social integration indicator and treat it as a binary variable (1 = yes).
Results are shown in
Table 11. In columns (1) to (2), panels A and B present that both infrastructure resilience and social resilience have a beneficial effect on residents’ assessment of the employment and medical services problems, which increases their social integration and social identity level and is significant at the 1% level. In column (3), it is shown that residents tend to think most people in the country are trustworthy if they live in cities with higher infrastructure resilience and social resilience. Results in column (4) show that residents are more likely to donate to organizations or individuals as the infrastructure resilience and social resilience of their cities rise. The above results support our hypothesis that, when residents live in cities with higher infrastructure resilience and social resilience, their social integration and social trust level are relatively higher, which plays a positive role in their subjective happiness.
One may worry that a potential tautological problem possibly affects the above mechanism results, since the resilience indicators are directly or indirectly included in the mechanism analysis. Although one-year lagged indicators are used to avoid such a problem, it is still possible that tautological indicators affect our results. Therefore, we conduct several robustness checks. First, we reconstruct urban resilience index after excluding the most tautological indicators, such as per capita GDP, the proportion of tertiary industry in GDP, the number of hospitals per capita, the number of urban registered unemployed people, and the number of doctors per capita, and run the regressions again. Second, we recalculate the economic resilience index after excluding per capita GDP and the proportion of tertiary industry in GDP, reconstruct the infrastructure resilience index after excluding the number of hospitals per capita, and recalculate the social resilience index after excluding the number of urban registered unemployed people and the number of doctors per capita. Third, we explore the relationship between urban resilience and these mechanism variables with three-year lagged resilience data. In the above cases, the mechanism results are consistent.
6. Conclusions
Existing studies mainly focused on the notion of urban resilience and attempted to explore the sources of urban resilience in both developing and developed countries, while few of them further explored whether urban resilience plays a critical role in residents’ subjective happiness and examined underlying mechanisms behind the link [
5,
19,
26]. This study fills the gap by examining the role of urban resilience in residents’ subjective happiness, constructing the sub-class resilience indices of the four aspects, and further exploring the possible channels through which urban resilience is associated with residents’ subjective happiness.
Using a nationally representative survey in China, we constructed panel data from 2012 to 2018 to analyze the link between the overall urban resilience, each sub-class resilience index, and residents’ subjective happiness. Results show that, as urban resilience increases, residents feel more satisfied about their life, and the ecological resilience, infrastructure resilience, social resilience, and economic resilience of cities are positively correlated with residents’ subjective happiness. Heterogenous results show that residents in large cities with a higher urban resilience value are more satisfied with their life. Additionally, the effect of urban resilience varies across different economic development groups measured by the GDP of cities, and urban resilience has a greater positive effect on residents’ subjective happiness when they live in cities with lower economic development. We conducted several robustness checks to test whether the baseline results are robust and credible. We changed the estimation method and substituted the urban resilience indicators with unemployment and GDP, and a consistent conclusion was drawn.
Three possible mechanisms were explored in our study. First, residents’ income and family consumption are relatively higher in cities with higher economic resilience, which satisfies their daily needs better and enhances their satisfaction of living standards and the overall subjective happiness. Second, higher ecological resilience of cities enhances residents’ health status with regard to having chronic diseases, having physical discomfort, and self-rated health, and they feel more satisfied about life when they live in these cities. Third, residents tend to increase their donation behavior and social trust and have a positive assessment of the employment and medical service problems if they live in cities with higher infrastructure and social resilience value. Increased social integration and social trust are positively linked to residents’ subjective happiness.
Several policy implications can be inferred from the above empirical results. First, improving urban resilience is an effective strategy to enhance residents’ subjective happiness. More efforts can be exerted to improve the unemployment rate, environmental quality, economic development, and medical resources of cities, which enhance residents’ welfare and life quality. Second, a policy aimed at strengthening social welfare and increasing urban resilience can be implemented differently according to the city size, region, and economic development level of the city. More emphasis should be placed on the improvement of urban resilience for cities with lower economic development and larger population size. The link between residents’ health, income level, social integration, and subjective happiness cannot be ignored, and the above issues can be improved simultaneously under the framework of urban resilience.