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Economic Recession, Family Stress
and the Adjustment of 3-year-olds
Elizabeth Nixon & Richard Layte
Trinity College Dublin
& Maeve Thornton, formerly ESRI
Economic Recession
• Long history of research on the effects of socio-economic
disadvantage on children’s development
• Limited research on direct effects of recession on children’s
outcomes at a population level
o Instability and change in economic state of families are likely to contribute to family
instability and chaos
o Investments in children may occur more intermittently: reducing consumption and
investments in children’s education and other activities are common responses to
economic shocks
o Reductions in fiscal resources available to governments may affect service delivery
across a range of areas pertinent to the lives of children
• Timing of data collection coincided with onset of the ‘Great
Recession’ in Ireland (2008)
Family Stress Model
Conger et al, 2010
Economic Strain – gives psychologicalmeaning to the stressful experience of economic
hardship
’08 (Infant) Cohort of Growing up in Ireland
9 months
• 11,134
• Interviewed between September 2008 and April 2009
• 69% positive response rate of valid contacts made
3 years
• 9,793
• Interviewed between December 2010 and June 2011
• 87.96% retention rate
5 years
• 9,001
• Interviewed between December 2012 and June 2013
• 91.91% retention rate (from Wave 2; 80.84% from Wave 1)
Infant Cohort
Random sample drawn from ChildBenefit Register
Population 73,362
7 years
• Inter-wave contact, postal questionnaire only
• Completed between October 2015 and February 2016
9 years
• Full home and school-based assessment
• Completed between March 2018 and August 2018
Economic Strain
• Economic Strain – gives psychological meaning to the stressful experience of
economic hardship
• “Difficulty making ends meet” – 61% of families; 14% in arrears on utility bills,
9% in arrears on rent/mortgage
• Change in income is important for experiences of economic strain…. but is not
the only factor
11
18
25
34
41 42
54
41
34
0
10
20
30
40
50
60
Lower quintile Same quintile Higher quintile
%ofhouseholds
Less strain Same strain More strain
Economic Strain
• Wage reduction per se not associated with economic strain
• Strongest predictors were
– Cutting back on basics
– Cutting back on luxuries
– Arrears on rent/mortgage
– Arrears on utility bills
– Redundancy of either parent
– Being in a single parent household
– Lower level of maternal education
– Working hours reduced
– Social welfare reduced
Effects of Economic Strain
26.1
18
10.7
5.8
3.7
1.7
10.6
9.2 9.5
4.3
2.8
2.2
2.7
4.5
0
5
10
15
20
25
30
With great difficulty With difficulty With some difficulty Fairly easily Easily Very Easily Overall
%ofparentsclassifiedas'depressed'
Difficulty making ends meet (Economic Strain)
Mother Father
Effects of Economic Strain on Depressive
Symptoms
Effects of Economic Strain on Depressive
Symptoms
Strong effects of economic strain on mothers’ depressive symptoms
Having to cut back on basic necessities, and being in arrears were also directly associated
with depressive symptoms for mothers
For fathers:
• In arrears on utility bills
• Redundancy(of mother or father) associatedwith higher depressive symptoms
• Having social welfare reduced
• Not being able to afford luxuries
Effects of Economic Strain on Marital
Satisfaction
Mothers’ economic strain and depressive symptoms were the strongestpredictors
of marital dissatisfaction.
Older mothers had lower marital satisfaction, but satisfaction was higher when a
new child had been born between waves of the study.
For fathers, the only economic variable associated with marital satisfaction was
having working hours reduced: this was associated with lower levels of marital
satisfaction
Fathers’ depressive symptoms were also associated with marital satisfaction.
Older fathers had lower marital satisfaction and fathers with more children, and
where a new child had been born between waves had higher marital satisfaction
Spill-over effects into parenting?
Comparing depressed/non-depressedmothers and fathers - small
differences in warmth, bigger differences in hostility
Similar patterns in terms of those with ‘distressed’relationships
Does this matter for children’s outcomes?
Children’s Adjustment Difficulties
Mother hostility
Father hostility
Mother depression
Recent migrant
Higher levels of mat education
Positive associations
Mother warmth
Mother age
Negativeassociations
Father warmth
Mother marital satisfaction
Father depression
Father marital satisfaction
Child gender
Non-significant
associations
Mother hostility
Mother depression
Recent migrant
Higher levels of mat education
New child born btw waves
Mother warmth
Mother age
Mother marital satisfaction
Externalising …and Internalising
Father warmth
Father hostility
Father depression
Father marital satisfaction
Child gender
What can we conclude?
Strain is highest when families are in arrears and have to cut back on
basic necessities
Important associations with psychological distress… and marital
dissatisfaction
Questions remain about the stability of these difficulties over time -
will they leave lasting effects over time? Or will economic recovery
be associated with a dissipation of these difficulties?
Parental mental well-being plays a key role in bridging the link
between distal macro-level economic circumstancesand children’s
relationships and outcomes
Spill-over effects point to the importance of supporting parents who
are experiencing psychological distress

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The Effects of Economic Recession and Family Stress on the Adjustment of 3-Year-Olds in Ireland

  • 1. Economic Recession, Family Stress and the Adjustment of 3-year-olds Elizabeth Nixon & Richard Layte Trinity College Dublin & Maeve Thornton, formerly ESRI
  • 2. Economic Recession • Long history of research on the effects of socio-economic disadvantage on children’s development • Limited research on direct effects of recession on children’s outcomes at a population level o Instability and change in economic state of families are likely to contribute to family instability and chaos o Investments in children may occur more intermittently: reducing consumption and investments in children’s education and other activities are common responses to economic shocks o Reductions in fiscal resources available to governments may affect service delivery across a range of areas pertinent to the lives of children • Timing of data collection coincided with onset of the ‘Great Recession’ in Ireland (2008)
  • 3. Family Stress Model Conger et al, 2010 Economic Strain – gives psychologicalmeaning to the stressful experience of economic hardship
  • 4. ’08 (Infant) Cohort of Growing up in Ireland 9 months • 11,134 • Interviewed between September 2008 and April 2009 • 69% positive response rate of valid contacts made 3 years • 9,793 • Interviewed between December 2010 and June 2011 • 87.96% retention rate 5 years • 9,001 • Interviewed between December 2012 and June 2013 • 91.91% retention rate (from Wave 2; 80.84% from Wave 1) Infant Cohort Random sample drawn from ChildBenefit Register Population 73,362 7 years • Inter-wave contact, postal questionnaire only • Completed between October 2015 and February 2016 9 years • Full home and school-based assessment • Completed between March 2018 and August 2018
  • 5. Economic Strain • Economic Strain – gives psychological meaning to the stressful experience of economic hardship • “Difficulty making ends meet” – 61% of families; 14% in arrears on utility bills, 9% in arrears on rent/mortgage • Change in income is important for experiences of economic strain…. but is not the only factor 11 18 25 34 41 42 54 41 34 0 10 20 30 40 50 60 Lower quintile Same quintile Higher quintile %ofhouseholds Less strain Same strain More strain
  • 6. Economic Strain • Wage reduction per se not associated with economic strain • Strongest predictors were – Cutting back on basics – Cutting back on luxuries – Arrears on rent/mortgage – Arrears on utility bills – Redundancy of either parent – Being in a single parent household – Lower level of maternal education – Working hours reduced – Social welfare reduced
  • 8. 26.1 18 10.7 5.8 3.7 1.7 10.6 9.2 9.5 4.3 2.8 2.2 2.7 4.5 0 5 10 15 20 25 30 With great difficulty With difficulty With some difficulty Fairly easily Easily Very Easily Overall %ofparentsclassifiedas'depressed' Difficulty making ends meet (Economic Strain) Mother Father Effects of Economic Strain on Depressive Symptoms
  • 9. Effects of Economic Strain on Depressive Symptoms Strong effects of economic strain on mothers’ depressive symptoms Having to cut back on basic necessities, and being in arrears were also directly associated with depressive symptoms for mothers For fathers: • In arrears on utility bills • Redundancy(of mother or father) associatedwith higher depressive symptoms • Having social welfare reduced • Not being able to afford luxuries
  • 10. Effects of Economic Strain on Marital Satisfaction Mothers’ economic strain and depressive symptoms were the strongestpredictors of marital dissatisfaction. Older mothers had lower marital satisfaction, but satisfaction was higher when a new child had been born between waves of the study. For fathers, the only economic variable associated with marital satisfaction was having working hours reduced: this was associated with lower levels of marital satisfaction Fathers’ depressive symptoms were also associated with marital satisfaction. Older fathers had lower marital satisfaction and fathers with more children, and where a new child had been born between waves had higher marital satisfaction
  • 11. Spill-over effects into parenting? Comparing depressed/non-depressedmothers and fathers - small differences in warmth, bigger differences in hostility Similar patterns in terms of those with ‘distressed’relationships Does this matter for children’s outcomes?
  • 12. Children’s Adjustment Difficulties Mother hostility Father hostility Mother depression Recent migrant Higher levels of mat education Positive associations Mother warmth Mother age Negativeassociations Father warmth Mother marital satisfaction Father depression Father marital satisfaction Child gender Non-significant associations Mother hostility Mother depression Recent migrant Higher levels of mat education New child born btw waves Mother warmth Mother age Mother marital satisfaction Externalising …and Internalising Father warmth Father hostility Father depression Father marital satisfaction Child gender
  • 13. What can we conclude? Strain is highest when families are in arrears and have to cut back on basic necessities Important associations with psychological distress… and marital dissatisfaction Questions remain about the stability of these difficulties over time - will they leave lasting effects over time? Or will economic recovery be associated with a dissipation of these difficulties? Parental mental well-being plays a key role in bridging the link between distal macro-level economic circumstancesand children’s relationships and outcomes Spill-over effects point to the importance of supporting parents who are experiencing psychological distress