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IW Warns: Germany's Youth Mental Health Crisis Costs €147 Billion

Mental health issues are crippling Germany's youth. The economic cost is skyrocketing, making urgent action a necessity.

In this image I can see a group of children are sitting in a car and the children are smiling.
In this image I can see a group of children are sitting in a car and the children are smiling.

IW Warns: Germany's Youth Mental Health Crisis Costs €147 Billion

The Institute of the German Economy (IW) has issued a stark warning about the economic impact of untreated mental health disorders among children and adolescents in Germany. The study highlights the urgent need for a national strategy to tackle this growing issue.

The IW study reveals alarming figures: 17 percent of young people in Germany exhibit depressive symptoms, while 21 percent report feelings of loneliness. These mental health struggles often lead to school dropouts, failed vocational training, and lost productivity. Key risk factors include family conflict, bullying, and excessive media use.

The study underscores the importance of early intervention, as half of all mental illnesses begin before the age of 15, and three-quarters emerge by 25. Experts urge a comprehensive, cross-sectoral approach linking health and education. Proposed measures include regular mental health monitoring, expanding psychotherapy training, bolstering school social work, and implementing evidence-based prevention programs.

The economic cost of mental health issues in Germany is staggering, with annual direct healthcare expenses reaching €56.4 billion and two-thirds of young people's disability pensions attributed to mental illness. The total economic damage amounts to €147 billion. Prevention, the study argues, is cheaper than repair. Germany cannot afford to ignore the mental health crisis among its youth any longer.

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