The scarring effect of unemployment on psychological well-being across Europe |
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| Institution: | 1. Department of Social Psychology, Faculty of Psychology, University of Málaga, Campus de Teatinos s/n, Málaga 29071, Spain;2. Department of Personality, Assessment and Psychological Treatment, Faculty of Psychology, University of Málaga, Málaga, Spain;1. University of Coimbra, Faculty of Psychology and Education, Rua do Colégio Novo, 3000-115 Coimbra, Portugal;2. Friedrich Schiller University of Jena, Department of Developmental Psychology, Am Steiger 3/1, D-07743 Jena, Germany;3. Korea University, Department of Education, 145 Anam-ro, Seongbuk-gu, Seoul, 02841, Republic of Korea;4. Pennsylvania State University, Department of Human Development and Family Studies, 119 Health and Human Development Bldg. University Park, PA 16802, United States |
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| Abstract: | Past unemployment may have a pervasive psychological impact that occurs across nations. We investigate the association between unemployment events across working life and subsequent psychological well-being across 14 European countries. Additionally, we consider the influence of between-country differences in labour market institutions and conditions on the cross-country well-being effects of unemployment. Data detailing life-long employment trajectories and contemporary life conditions are drawn from the Survey of Health, Ageing and Retirement in Europe. The well-being impact of unemployment is modeled using linear, multi-level specifications. Each six-month spell of past unemployment is found to predict reduced quality of life and life satisfaction after the age of 50, having adjusted for a broad range of individual and country-specific covariates. In contrast, the impact of past unemployment on depression is explained by individual demographic factors. We identify the first comparative long-term evidence that unemployment welfare scarring may be a broad, international phenomenon. |
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| Keywords: | Cross-country survey Life satisfaction Quality of life Depression Unemployment Psychological scarring |
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