Children have fun at seashore in South China's Sanya, Hainan province, Nov 20, 2016. Hainan is among the top three happiest provincial areas in China in 2016. [Photo/VCG]

The report looked at what were the major factors that shape people's sense of contentment, and whether it’s directly related to economic status. Five components were found influential: the degree of optimism, health status, satisfaction about leisure life, marital status, and medical service satisfaction.

Income vs happiness

Does income determines happiness?

“We found that there is a turning point between income and happiness. With the increase in income, people’s happiness index went up first but then it went down. People with a monthly income of 12,000-15,000 yuan ($1,700-2,100) are the happiest,” said Fei Yong, head of the Haoda Lifestyle Research Institute.