Economic Vulnerability and Psychological Distress in Urban and Rural Communities: Policy Implications for the Philippines, Thailand, and Sri Lanka

Abstract

Economic vulnerability can affect mental health through persistent material insecurity, constrained choices, and exposure to disadvantaged community conditions. This cross-sectional study examined associations among economic vulnerability, community socioeconomic disadvantage, perceived stress, and anxiety in 500 adults from economically vulnerable urban and rural communities in the Philippines. It also assessed whether social support and stable employment were associated with lower distress. Correlations and hierarchical regressions showed that economic vulnerability was positively associated with stress and anxiety, while community disadvantage explained additional variance beyond individual characteristics. Social support and stable employment were negatively associated with both outcomes. Social support, but not stable employment, moderated the vulnerability-stress association; moderation was tested only for perceived stress. The coefficient pattern was consistent with a possible indirect pathway from economic vulnerability to anxiety through perceived stress, although a bootstrapped indirect effect was not estimated. The findings support integrated livelihood, social-protection, and community mental-health responses. Policy-transfer considerations are developed for Thailand and Sri Lanka, while recognizing that the empirical evidence was generated solely in the Philippines and requires local validation before application elsewhere.