Fear of Unemployment and its Effect on the Mental Health of Spouses

Abstract

Unemployment has been shown to have adverse effects on different aspects of a person's life, and even the fear of losing a job affects individuals negatively. In addition, not only the individuals directly affected but also their spouses and other family members might be affected. Using data from the German Socio-economic Panel, this study analyzes the relationship between individual job worries and spouse's mental well-being. The empirical results remain robust to different specifications and indicate that fear of job loss is negatively related to spouses' mental well-being and that this relationship seems to be stronger in single-income than in dual-income households.