In periods of economic recession, negative mental health symptoms like depression, anxiety, panic attacks, and self-harm tend to increase, according to a study in Behavioral Sciences. Adverse changes in the labor market create wage cuts and layoffs. And for those who remain employed, decreased workplace safety standards and increased workloads are catalysts for poor mental health outcomes like worthlessness, anxiety, shame, and frustration.
“High inflation typically causes anger and frustration, especially toward elected officials,” says Jim Butkiewicz, macroeconomist and economics professor at the University of Delaware. “If wage and salary increases lag inflation, there will be unrest in the labor market, with demands for increased compensation.”
