The 2013 World Happiness Report, published on Monday, ranks Denmark the best place to live in the world, basing the this on a combination of self-declared happiness levels, health, family, job security, and freedom from political oppression and corruption.
Norway came a close second, followed by Switzerland, The Netherlands and Sweden. Other countries in Northern Europe fared less well, with the UK in 22nd place, and Germany even lower in 26th place.
The United States did comparatively better, sweeping 17th place, while Russia and China came far down, taking 68th and 93rd place respectively.
The report recommends that governments spend more on mental health to increase the wellbeing of their citizens.
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"If we want a happier world, we need a completely new approach to mental health," the report concludes.