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Studies have provided contradictory findings about the influence of race and ethnicity on mental health. Using data from the National Longitudinal Survey of Youth (1979 to 1992), this study examines the extent to which multiple dimensions of past and present socioeconomic status explain the influence of race and ethnicity on depression in young adulthood. Results indicate that Blacks and Hispanics have significantly higher levels of depressive symptoms than Whites, which supports social stress theory. These racial and ethnic differences are partially explained by family background and wealth, and substantially explained by the duration of poverty across 13 years of the transition to adulthood. Moreover, the robust depressive effect of past poverty duration is independent of present socioeconomic status and family background. Overall, this study was inspired by the life-course perspective and highlights the importance of wealth and histories of poverty for understanding racial and ethnic mental health disparities among young adults in the United States.
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