Coping with economic deprivation during unemployment

The negative impact of unemployment on psychological health is well known. Less is known of the ways that people cope with the problems associated with unemployment, one of which is economic deprivation. This study examined the interrelationships between employment status (200 unemployed participants and 128 employed participants), economic deprivation, coping-efforts and psychological health. It also examined the moderating effect of coping on the relationship between economic deprivation (restriction of spending for material necessities and restriction of spending for meaningful leisure activity) and psychological health. The results suggest that economic deprivation is experienced differentially in terms of material necessities and meaningful leisure activities with unemployed respondents differing from employed on levels of deprivation for meaningful leisure activities but not for material necessities. Employment status, economic deprivation for meaningful leisure activity, solution-oriented coping and affective-based coping significantly predicted depressive affect and self-esteem. Depressive affect was also predicted by economic deprivation for material necessities. A number of significant two-way interactions show that the relationship between economic deprivation and psychological health was conditional upon the use of solution-oriented coping. Results also showed that the relationship between employment status and depressive affect was moderated by the use of affective-based coping. The incorporation of these findings into intervention programmes for unemployed persons is discussed.