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Whose mental health declines during economic downturns?
Nicole Black1, Angela Jackson1, David W Johnston1
1Centre for Health Economics, Monash Business School, Monash University, Melbourne, Victoria, Australia.
Health Economics
|October 28, 2021
Summary
Economic downturns disproportionately harm young women's mental health, particularly those in precarious jobs or low socioeconomic statuses. Public health initiatives should prioritize this vulnerable group during recessions.
Area of Science:
- Public Health
- Mental Health Research
- Socioeconomic Impact Analysis
Background:
- Economic downturns are linked to increased mental illness.
- Limited understanding exists regarding specific demographic impacts of economic instability on mental well-being.
Purpose of the Study:
- To investigate the differential impact of unemployment changes on mental health across various Australian population subgroups.
- To identify which demographics experience the most significant negative mental health consequences during economic downturns.
Main Methods:
- Utilized an 18-year Australian panel dataset.
- Estimated the effects of unemployment fluctuations on mental health, segmented by population characteristics.
- Employed a mental health measure encompassing psychological distress and emotional difficulties.
Main Results:
- Young women exhibit the most substantial negative mental health outcomes during economic downturns.
- Older men and women show no significant adverse effects.
- The heightened distress in young women is concentrated among those in insecure employment and from low socioeconomic backgrounds.
Conclusions:
- Young women, especially those in vulnerable employment and socioeconomic situations, are a key demographic requiring mental health support during economic recessions.
- Public health strategies should be tailored to address the specific mental health needs of young women facing economic hardship.
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