Question

What are the advantages of using cross-sectional data to look out how general life satisfaction is affected by factors such as income and health?

And why is income a better variable to use that wage in this instance?

Answer 1

Cross-sectional data is generally conducted by collecting information from people,organisations,markets to ascertain the levels of income,health,food consumption,etc.Usually,when other surveys are conducted,the exact factors which affect the values are not known.But,when cross sectional data survey is conducted the factors which affect the values are known. If cross-sectional method is used to compute general satisfaction,then the information regarding income level ,consumption level and expenditure on health,medical issues are necessary.According,to cross sectional survey,if a person earns high income and his expenses on medical treatments,health issues is low.then it is clear that  satisfaction level of that person is high.But if income level of a person is low and in case that person is not able to treat his health issues,then it can be depicted that general satisfaction is low.Like this,there are many other factors and cases which affect general satisfaction level and all these situations can be derived from cross-sectional data.  So,cross sectional data helps in knowing the relation between income,health and lifestyle of person or a group of people.It also gives clear picture of data that how general satisfaction of life is affected by factors of income,health and other expenses.All the relevant data of a person's earnings,expenses and their inter-relation is collected and depicted so that it will be trouble free while studying and ascertaining the final conclusion.Cross-sectional data first collects the information of all appropriate and necessary sections,then relation and factors which affect the data are determined.Information can be studied in a simple and hassle free by cross-sectional method.

Income is a better variable to ascertain the position of general satisfaction of life of a group of people or of a  person.If income level of a person is high and if he is in a position lead a better standard of living then his general life satisfaction level is high.But a person with low income cannot afford better standard of living and a luxurious life as he is not in a position to spend more on food,clothing,etc.General life satisfaction of this person is low .So here income is taken as a variable in cross-sectional method as it affects the general life satisfaction.In cross-sectional method,income is directly proportional to general life satisfaction.Therefore,this is the reason why income is taken as a variable in the instance.

Hence,there are many more uses of cross-sectional data.Government bodies,researchers prefer this method of collecting data as it provides accurate information and details about the factors which affect the values.