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Recent research on the impact of economics on mental and physical health has raised fundamental questions about structural elements in the macro-economy and their role in creating stress; This paper reviews and integratoes these sometimes conflicting fiddings into a cohesive mod4. Structural elements of our current economic 6sYstem are identified as possible major stres4ers: (1) instability in the business cycle; (2) unemployment;'(3) inequality in intome distribution; and (4) fragmentation of the work process. Research is reviewed linking the economic cycle with suicide and increased psychological symptoms as well as physical illness. Intervention on the institutional level is suggested since these matro-economic 'eleireents appear to be more powerful than the individual coping medhanisms of some demographic subgroups. The implications of these findings for primary prevention are discussed. (Author/JAC) ( *************************************4********************************* Reproductions supplied by EDRS are the best that can be made from the original document. *********************************************************************** Economics, Wbrk, and Mental Health: implications for Primary Preventiod Janet Cahill DepartMent of Psydhology__ Glassborq State College Glassboro, N.J.. 08028 (609) 445-6112 0 'Running Head: Economics and Mental Health U.S. DEPARTMENT OF EDUCATION NATIONAL INSTfTUTE OF EDUCATION EDUCATIONAL RESOURCES INFORMATION CENT% (ERIC I 1(This document has been reproduced as received from sthe person or organization originating it. Minor changes have been made to improve reproduction quality. Points of view or opinions stated in this documem do not necessarily represent official NIE position" or policy. "PERMISSION TO REPRODUCE THIS M ERIAL HAS BEEN GRANTED BY / TO THE EDUCATIONAL RESOURCES INFORMATION CENTER (ERIC)." Abstract .1 Recent research on the impact of economics on mental and physical health has raised 'ftndamenl questions'about structural elements in the macro-economy. Specifically, four characttri.stics of our current economic systen; instability in the Aminess cycle, u,n'afploymnt, inequality in income distributZ, and the ftagmentation of the work irocess, appear to some pathogenic role in the inciaenee of behavioral and ;bysical orders. These macro-economic elements requ4re intervention on the insti., tutional level sinoe they iippear to be more powerlrul thin individual coping mechanisms of some demographic subgroups. The implications of these findings1 Recent research on the impact of economics on mental and physical health has raised 'ftndamenl questions'about structural elements in the macro-economy. Specifically, four characttri.stics of our current economic systen; instability in the Aminess cycle, u,n'afploymnt, inequality in income distributZ, and the ftagmentation of the work irocess, appear to some pathogenic role in the inciaenee of behavioral and ;bysical orders. These macro-economic elements requ4re intervention on the insti., tutional level sinoe they iippear to be more powerlrul thin individual coping mechanisms of some demographic subgroups. The implications of these findings for,primary prevention is discussed. Dionomics, Work, and Mental Health; /mplicationsfor Primary Prevention A major conceptual thrust in community psychology has4pen to broaden our understanding of the etiology of psychopathology. SuCh interest has led to an examination of those forces in the environment which produce stressPas well as mAhods of increasing the coping skills and resources Of a given population todeal with these stressors (Cowen, 1977). As part of this trend, the impact of the economic environment on,mental and physical , health has merited serious interest (Heller & Monahan, 1977). Preliminary research on this issue has raised fundamental questions about the structure of advanced western ecanomies and their role in creating stress. The purpose of this presentation is to review and integrate these sometimes conflicting findings into a cohesive model. In particular, several structural elements of our current macro-economy Will be identified as possible major stressors. Finally, the implications for primary prevention and social .1 policy will be discussed:, Structural Characteristics of>MaCro-Economy -7' Economists generally refer to our system as a mixed economy. That 141, both public and private institutions have some control over economic events (Samuelson, 1976): For the purposes of this i5resentaon, several character-7 Istics of'this mixed system can be identified. ihe first is the cyclic 'mature of the economy. Since,1855 there have been 25 business cycles with r. the pverage cycle between 8-10-years in length (Lekachman, 1981). These cycles are only partially_planned in nature. While govermment and. industry may-react, or anticipate these cycles, theytare not consistently predictable in nature because of the flucuating needs of the market (Smmuelsonr,1976). A second Economics and Mental Health 2 characteristic is the assumption that varying levels of unemployment are a necessary by-product of the business cycle. Furtherlveriodic levels of -high unemployment may be necessary to ameliorate cycliáalrecessiona \ (Samuelson, 1976). A third assumption is that same income inequity is necessary for an efficient economy (Lekachman, 1981). Final34., the macroecononlic goal of maximazation of profits and productivity have lead to a fUndamental transformation of the work liwocess and a concurrent decrease in individual autonomy over work (Braverman, 1974), Recent empirical evidence has provided some insights into the impact of these economic characteristiCs on mental and physical health. Mental Eealth and the Business Cycle Durgieim (1951) suggested a link between the economic cycle and suicide. He posited that cyclical changes in the economy increased anomie and decreased social cohesion. Based on this model,Tierce (1967) fa/71d a Strong correlation between thestite male suicide rate and absolute change incommon stock prices. Durkheim maintained that change per se in the,ggregate ecanomywould .increase n symptoms of psychological stress. Brenner (1973) specified that economic downturns, as measured by unemployment, were more powerfa stressors than up, turns. Specifically, Brenner (1973) concluded that the Unemployment rate was a sensitive4tdsONNMprpredictorof mental hospital admission rates over a 127 year period. 'EWenner's basic assumption has been supported in several geographiC regions, across a wide range of demographic groups and with both long and short term lag times (Ahr, Gorodezky & Cho, 1981; Barling &Handal, 1980; Droughten, 1975; Frank, 1981; Marshall & Funch, 1979). There is then, evidence th9 st downturn phase of the business cycle and the unemployment that it brings, czo