Finland has been revealed as the world’s happiest country for the eighth consecutive year — with Australia dropping from 10th to 11th.

The World Happiness Report, released on International Happiness Day (March 20), is published annually by the University of Oxford Wellbeing Research Centre, in partnership with the United Nations.

The UN General Assembly, which established International Happiness Day in 2012, asserts that happiness is a universal and fundamental goal.

The ranking encourages governments and international organisations to implement programs and policies to help their populations reach this goal.

A country's rank is based on a survey of more than 100,000 people in 140 countries and territories.

The survey involves people ranking their life out of 10, with their best possible life at 10.

The World Happiness Report defines happiness as a mix of people’s general feelings of happiness and assessment of their satisfaction with life, including work, study and relationships.

Romolo Esposito, a Bachelor of Science student at Monash University, said he is currently happy, for the following reasons: “Food, family, moving, being outside, being around the beach, parks, things like that.” 

Similarly, Gabrielle Stephenson, a Bachelor of Science and Global Studies student at Monash University, shared what makes her happy. 

"Nature, outside. Just moved to a new place, and we've got a garden … the weather being nice and warm. And being at uni, it's good: socialising always makes you happy," she said.

Aspects of student life could impact happiness, however, as Esposito explained: 

“Definitely stress, whether it be physical, from university, familial, whatever form it comes in, I think stress is a pretty big dampener."

Meanwhile Stephenson said that completing a double degree is quite stressful and can distract her from doing things that make her happy.

“When you've got exciting things going on that you should be looking forward to. It's almost like you focus less and worry about stress and what you have to do. It takes you away from your happiness,” she said.

What can increase happiness?

A study conducted in Australia found that four main factors help increase someone’s happiness: positive relationships, feeling fulfilled, positive attitude and hard work. The study found:

• Positive relationships are a main contributor to happiness as they boost social connectivity and help people feel supported through life;
• People feeling fulfilled with, and finding meaning in, their work is a factor too;
• A positive attitude to life contributes hugely, as it allows people to have a better outlook on situations, which helps manage stress; and
• Working hard to achieve goals and having some luck along the way also increases happiness.

Similarly, the UN acknowledges that positive relationships and positive outlooks can greatly improve happiness. And Finland reported high levels of social connectivity through sharing meals with family and friends, which contributed to their overall happiness.

Student happiness can be increased through positive relationships, too.

"I’m living in Melbourne, but I’m from regional Victoria," Stephenson said. "If I’m overwhelmed or need a distraction, I’ll go home, see my Mum, see my dogs … That makes me happy."

Esposito said taking a step back and going to his grandfathers’ farm or playing with his dog boosts his happiness level.

"Trying to find the simple pleasures," he said.