The Causal Impact of Depression on Cognitive Functioning: Evidence from Europe

Arbeitspapier

Cognitive skills are important determinants of employment and productivity in older adults. Although cognitive decline is often linked to changes in mental health, the causal nature of the association between mental illness and cognitive performance is not established. In this paper, we analyse the effect of depressive symptoms on cognitive function. Based on longitudinal data for older adults of working age, we use an instrumental variable approach to show that worsening depressive symptoms lead to a decline in cognitive skills. The economic consequences of impaired cognition caused by depressive symptoms may be a large component of mental illness's social costs.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 14049

Classification and Topics

• Classification: Wirtschaft ; Human Capital; Skills; Occupational Choice; Labor Productivity ; Health: General
• Subject: cognitive skills ; mental health ; longitudinal data

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Nafilyan, Vahé ; Pabon, Mauricio Avendano ; de Coulon, Augustin
• Event: Veröffentlichung
• (who): Institute of Labor Economics (IZA)
• (where): Bonn
• (when): 2021

Further information

• Handle: http://hdl.handle.net/10419/232801
• Last update: 10.03.2025, 11:44 AM CET