Did you know that more than 280 million people worldwide suffer from depression? That’s a lot of people! Depression is not simply a transient feeling of sadness. It’s a serious problem that can touch on every aspect of a person’s life. Depression looms large over their relationships, their job. But there is another side to this: the economy. Depression isn’t only an individual problem, it’s an expensive one for society. It has an impact on how much people work, how much healthcare is demanded and the economy overall.
What is Depression: It is More Than Just Feeling Down
Depression is more than just feeling sad for a little while. The DSM-5, the diagnostic bible for mental health, describes it as an actual medical condition. You absolutely cannot “snap out of it.” It has to do with changes in the brain and body. It can shape how you think, feel and behave.
The Lifetime Diagnostic Criteria for Major Depressive Disorder
(For a formal diagnosis of major depressive disorder, an individual must display certain symptoms for at least two weeks.) These might include feeling very sad or empty, losing interest in things you used to enjoy, significant changes in appetite or sleep, feeling fatigued all the time and difficulty concentrating. A professional diagnosis from a doctor or therapist is absolutely essential. They can accurately diagnose your symptoms and come up with a clinical plan.
A Sliding Scale of Depressive Disorders
Major depressive disorder is just one form of depression. There’s also persistent depressive disorder, a long-lasting and milder form. Seasonal affective disorder (SAD) emerges at particular times of the year — typically during winter. And some women experience postpartum depression after childbirth. These various flavors of depression only compound the economic woes, for they affect human shocks in a multitude of ways.
The Direct Economic Costs of Depression
Depression has a real cost This includes the money we lay out for getting healthcare, as well as the money we lose because people can’t do their best work. It’s a double whammy that affects both people and the entire economy.
Healthcare Expenditures
Treating depression can be costly. Consider the price of therapy sessions, medications and sometimes even hospitalizations. People with depression may also develop other health problems that require treatment, such as heart disease or diabetes. It causes them to use more health care services and drives up costs further.
Lost Productivity and Absenteeism
Depression can sap your attention and ability to accomplish things at work. People come into work, but they are not productive (presenteeism). Or sometimes they might not work the days they could but fail to get out of bed (absenteeism). This loss of productivity costs companies money. It also impacts the overall economy, because less work gets done.
Indirect Economic Effects of Depression
The ripple effects of depression extend well beyond health care costs and missed workdays. It can impair a person’s education, contribute to crime, and burden social welfare programs. These are the hidden costs that we might not always see, but they are real.
Effect on Education and Human Capital
When students experience depression during their school years, this can lead struggles. Their grades can plummet, and some find themselves dropping out altogether. Education is also an important factor in a person’s life and reaching a certain level of education typically presents more job opportunities, leading to higher earning potential throughout their lifetime. This limits both supply and demand in the long run and reduces economic growth.
Higher Crime and Social Problems
Depression can correlate to things like substance abuse or crime. Those who are having problems with their mental health often resort to either drugs or alcohol, leading to getting in trouble with the law. This is raising costs for law enforcement, prisons and social services. It is a tough cycle to break.
Pressure on Social Safety Net Programs
One other factor is depression, which can interfere with work ability. This means that some are unable to work and must resort to social welfare programs such as unemployment or disability insurance. This burdens government budgets: more people needing help. It illustrates what a great need there is for prevention and treatment of depression.
Strategies to Mitigate the Economic Impact
What do we do with all of this? There are actions individuals, businesses and governments can take to mitigate the economic impacts of depression. That means early action, workplace support, smart policies.
Early Detection and Treatment
Early identification and treatment of the depression can be a game-changer. The earlier a person receives help, the less likely it is that their symptoms will become more serious. It also means lower health care costs and less lost productivity. We need to ensure mental healthcare is available to and affordable for everyone.
Mental Health Programs in the Workplace
Companies can do their part by developing workplace mental health programs. Employee assistance programs (EAPs) and mental health training to managers can help. When employees are supported, their productivity increases and absenteeism decreases.
Mental Health Funding Policy and Advocacy
Increase funding for mental health research, treatment and prevention. We want policies that promote awareness and reduce stigma. A society where mental health is prioritized is a healthier and more productive society.
Wrap Up: Mental Health Investment Is Good For the Economy
And depression has a significant impact not just on individuals but on the entire economy. The costs are tangible, from health care to lost productivity. But there’s some good news: we can do something about it. Spending on mental health is not just a matter of doing the right thing, it makes good economic sense, too. We build a better economy by raising awareness, supporting fixing, changing.
