Based on Nanchang residents' happiness questionnaire,this paper explores the main factors that influence the residents' happiness by factor analysis.The structural equation model is used to study the relationship between the influencing factors,and an index system is established to measure Nanchang residents' happiness.Results show that the potential variable factors of Nanchang residents' happiness can be classified as natural environment,social environment,condition of fame and wealth,and physical & mental health.Natural situation greatly influences the social environment,while the fame and wealth status greatly influences the physical and mental health.According to the residents' happiness index system,the impact factor index of fame and wealth is the lowest and the impact factor index of physical & mental health is the highest.As a result,comprehensive economic development and social security are needed to improve Nanchang residents' happiness.