Journal of Applied Economics and Business Studies, Volume. 5, Issue 3 (2021) 59-76 https://doi.org/10.34260/jaebs.534 59 Journal of Applied Economics and Business Studies (JAEBS) Journal homepage: https://pepri.edu.pk/jaebs ISSN (Print): 2523-2614 ISSN (Online) 2663-693X Digital Divide, Socio-Economic Outcomes and Subjective Well-Being in Higher Education Institutions of Pakistan Atta ur Rahman *1 , Shandana 2 , Laila Taskeen Qazi 3 , and Adnan Khan 4 1 Institute of Management Sciences, Peshawar, Pakistan 2 Institute of Management Sciences, Peshawar, Pakistan 3 Institute of Management Sciences, Peshawar, Pakistan 3 Institute of Management Sciences, Peshawar, Pakistan ABSTRACT This research examines the relationship between internet usage, socio- economic outcomes, and subjective well-being. Social outcomes are measured in the form of formal and informal networks and economic outcomes are measured through education, employment, and financial status. Subjective well-being is defined as assessment of one’s own life satisfaction. The cross-sectional study is conducted through a survey. The data was collected through a self-designed questionnaire from 500 university graduates in different region of Pakistan. The Cox regression is used to investigate the relationship among the variables. In Cox regression the gender, education, major, subjective wellbeing (SWB), positive affect (PA), negative affect (NA) are significantly affecting the duration of internet usage. Internet usage increases with age, likewise internet usage is found more in women and married individuals than men and unmarried individuals. Economic outcomes are less for internet users than the non-users similarly social outcomes are lower for users than the nonusers. Similarly, internet usage is found to decrease with increase in the level of education. This shows how online activities affect the economic and social activities of the individuals and in turn affect their subjective well-being. Keywords Digital divide, Subjective wellbeing, Socio- Economics, Cox regression JEL Classification Z1, Z13, A14 1. Introduction Online communication has widely become common among the people as more attention is paid to the influences of online communication to people’s life like information sharing, social adaption, interpersonal trust and subjective well-being. Subjective well-being is also gaining popularity in the recent years, and it has become a recognized subject matter in social sciences including economics. Due to new * attaurrahman@imsciences.edu.pk