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Does Where You Live Affect How You Feel? Causal Evidence from an Integrated Econometric and Machine Learning Framework
Proceedings of the 7th Conference on Health, Inference, and Learning, PMLR 333:389-403, 2026.
Abstract
We investigate whether residential relocation causally improves subjective wellbeing by leveraging household relocations in the UK Household Longitudinal Survey as natural experiments. An integrated framework combining a difference-in-differences and synthetic control ensemble with a causal forest model is applied to nearly a decade of panel data. Relocation causes an immediate and sustained improvement of 8% in subjective wellbeing; a change in the built environment type (e.g. suburb to city) adds a further 5%. We demonstrate the complementarity and interoperability of canonical econometric and machine learning methods for causal inference on subjective panel data.