Fear Factor: How the economy affects our psychological health (and vice versa)

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The market meltdown is not just a pocketbook issue — it’s become a psychological one. The economy’s downward spiral is taking our sense of well being with it. And as our anxiety and panic levels rise, we are creating a kind of feedback loop: The less confidence we have in our future, the less likely we are to go out and spend. That behavior, of course, only diminishes our chances of economic recovery. Guest: Dr. Karina Davidson, clinical psychologist at Columbia University and president of health psychology of the American Psychological Association.