Purpose : This paper examined how economic and non-economic factors are associated with people’s happiness in 36 states and union territories in India during the COVID-19 pandemic year 2020.

Methodology : This paper determined the significant factors that affected the average happiness of the Indian population by using a comparative analytical method and an ordinary least square regression analysis. These data were obtained from the Sustainable Development Goal India Report 2020–2021 and the Annual India Happiness Report 2020. The study examined the average happiness as the dependent variable, with COVID-19 cases and deaths as independent variables. A wide range of control variables was also included in the study; these included religious factors, economic growth, health indicators, education, relationship dynamics, health expenditure, forest coverage, corruption levels, the percentage of poor people, human trafficking, philanthropy, and female labor force participation.

Findings : The results indicated that COVID-19 cases and deaths had a negligible or infinitesimal effect on the overall subjective well-being of the people. The impact of economic growth ignored subjective well-being. Variables such as work, health, relationships, and health expenditure had a significant impact on the average person’s happiness.

Practical Implications : This paper offered crucial practical insights for policymakers in developing countries, providing recommendations for better preparedness for future crises. The government should focus on both the qualitative and quantitative aspects of well-being to mitigate the challenges of a pandemic since both economic and non-economic factors equally determine the changes in happiness.

Originality/Value : This paper examined factors associated with people’s overall happiness in 36 states and union territories in India during the COVID-19 pandemic year 2020. This paper discovered that during the early stages of the COVID-19 outbreak—when the nationwide lockdown and the entire economic shutdown of India were announced—there was a slight decline in the average happiness of Indians. This finding was based on secondary data from a variety of sources. The detrimental impact of COVID-19 on their economic lives is comparable to the reduction in happiness.

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