# Economic insecurity and depression among youth of color during the COVID-19 pandemic

## TL;DR

The paper explores how economic instability during the pandemic worsened mental health among youth of color, particularly through stress and loneliness.

## Contribution

The study applies a specific theoretical framework to examine how financial insecurity during the pandemic links to depression through stress and loneliness in youth of color.

## Key findings

- Financial insecurity was strongly linked to increased stress, loneliness, and depressive symptoms.
- Both stress and loneliness partially mediated the relationship between financial insecurity and depression.
- The findings highlight structural inequities that affect mental health outcomes in youth of color.

## Abstract

Communities of color have disproportionately faced burdens and losses during COVID-19, including greater economic instability and higher death rates. These overlapping stressors heightened the risk of negative mental health among youth of color. We relied on the Unified Macrotheory of Depression among Urban Black youth to examine associations among three indicators of economic insecurity – COVID-related financial insecurity, neighborhood income, and free/reduced-price lunch eligibility— and depressive symptoms, as well as the potential mediating roles of stress and loneliness.

We analyzed cross-sectional survey data among 105 adolescents and young adults of color (majority Black) in Kansas City, Missouri. Participants reported on their experiences of financial insecurity, stress, loneliness and depressive symptoms measured variable path analysis.

COVID-related financial insecurity was significantly associated with stress, loneliness, and depressive symptoms. Significant indirect associations were observed from COVID-related financial insecurity to depression via both loneliness (standardized pathway coefficient = 0.088, SE = 0.045, 95% CI [0.018, 0.191]) and stress (standardized pathway coefficient = 0.074, SE = 0.04, 95% CI [0.017, 0.180]).

Although the pandemic intensified acute stressors, these findings highlight deeper, long-standing structural inequities that contribute to the mental health challenges of youth of color and remain relevant in the post-pandemic period. The personal salience of COVID-related financial strain may have had a particularly strong psychological link during this period. Accordingly, we discuss implications for clinical, community, and policy interventions that address both acute financial disruptions and persistent structural conditions, such as financial insecurity, stress, and social isolation, in our population of interest.