Indebted and Depressed at 50: What Explains the Debt Gap in Midlife Depression?

• In Event: Sociology of Mental Health Section Open Call Paper Session

Abstract

Indebted midlife adults report significantly higher levels of depression than their debt-free counterparts. There are several possible explanations for this “debt gap” in depression, but research has not simultaneously assessed explanations or whether they apply equally to Black and White Americans. We aggregate over three decades of detailed biographical data on a U.S. cohort collected by the National Longitudinal Surveys of Youth 1979 to operationalize a comprehensive set of financial stressors, including poverty, unemployment, wealth shocks, bankruptcy, and unsecured debts. Decomposition analysis suggests that multiple financial stressors contribute to the debt gap in midlife depression, but the explanatory power of stressors varied significantly by race. For Black Americans, more of the debt gap was explained by poverty and unemployment. For White Americans, more of the debt gap was explained by unsecured debt. We conclude that race-based stratification processes in the U.S. determine exposure to financial stressors and how those stressors influence the debt gap in midlife mental health.

Authors

• Joseph D. Wolfe, The University of Alabama at Birmingham

• Patricia Drentea, The University of Alabama at Birmingham