The impact of labour market shocks on mental health: evidence from the Covid-19 first wave

Francesco Bogliacino, Cristiano Codagnone, Frans Folkvord and Francisco Lupiáñez-Villanueva
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Cristiano Codagnone: Università Degli Studi Di Milano
Frans Folkvord: Tilburg University
Francisco Lupiáñez-Villanueva: Universitat Oberta de Catalunya

Economia Politica: Journal of Analytical and Institutional Economics, 2023, vol. 40, issue 3, No 8, 899-930

Abstract: Abstract In this study, we estimate the effect of a negative labour market shock on individuals’ levels of stress, anxiety, and depression. We use a dataset collected during the first wave of the Covid-19 pandemic, on a representative sample of citizens from Italy, Spain, and the United Kingdom, interviewed on three occasions. We measure stress, anxiety and depression and labour shocks using validated scales. Our research design is a standard difference-in-differences model: we leverage the differential timing of shocks to identify the impact on mental health. In our estimations, a negative labour shock increases the measure of stress, anxiety, and depression by 16% of a standard deviation computed from the baseline.

Keywords: Stress; Anxiety; Depression; Negative economic shocks; Covid-19 (search for similar items in EconPapers)
JEL-codes: C83 E24 I18 I39 (search for similar items in EconPapers)
Date: 2023
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Working Paper: The impact of labour market shocks on mental health: evidence from the COVID-19 first wave (2022)
Working Paper: The impact of labour market shocks on mental health: evidence from the COVID-19 first wave (2022)
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DOI: 10.1007/s40888-023-00304-z

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