Subjective Well-Being, Willingness to Accept COVID Policies, and Vulnerability: Evidence from China

China has experienced dramatic economic growth and poverty reduction over the last two decades, leading the country to declare victory in eradicating extreme poverty in 2021. While the country's track record in poverty reduction is certainly respectable, income poverty is only one dimension of broader wellbeing. Increasingly, the notions of vulnerability and subjective well-being (SWB) have been noted by researchers and practitioners worldwide. However, the widespread outbreak of COVID-19 pressed hard on people's livelihoods, potentially impacting SWB or tipping vulnerable households into a state of poverty. These states may impact households' support for China's strict measures to control the spread of the SARS-CoV-2 virus that causes COVID-19. To date, however, few studies have rigorously assessed household welfare and its relationship with SWB and subjective acceptance of aggressive COVID-related policies during the pandemic. Our results suggest that vulnerable households, on average, were less happy, experienced depression more frequently, and were subject to negative emotions impeding their ability to complete their work during the early period of the pandemic. Analysis also suggests that the vulnerable are less willing to accept the closure of work places, and became less confident in the government and the health system. The relationships between vulnerability, SWB, and acceptance of COVID-related policies are heterogenous and are conditional on the source of vulnerability. To enhance pre-pandemic progress in poverty elimination in China, the findings of this study suggest that interventions that can stabilize income variability also needs to be prioritized alongside raising income levels in the policy agenda.