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  • Thumbnail for Mitigating the Adult Wage Discount Associated with Adolescent Depression: Treatment and Wage Effects
    Mitigating the Adult Wage Discount Associated with Adolescent Depression: Treatment and Wage Effects by Bollen, Hannah R

    Previous papers have shown that adolescent depression negatively impacts labor market outcomes. However, no paper in the literature has examined the impact of treatment and whether it mitigates the negative impacts that adolescent depression has on earnings. I use the Adolescent to Adult Health Survey, a nationally representative, longitudinal survey that follows a cohort of approximately 6,000 individuals from adolescence to adulthood, to determine the impact that the treatment of adolescent depression, through counseling, has on adult earnings. The impact of treatment varies by demographic groups. Women of color suffer disproportionately from depression; receiving counseling for adolescent depression is associated with a 147.5 percent increase in adult wages, strongly mitigating the negative impact that depression has on earnings. The results of this paper give further evidence that treatment is worth it, and they bolster the argument to increase availability of counseling services.