Good management of economic crisis and its impact on emotions – health and well-being

Every decision taken on a day-to-day basis has to do with finances and is taken wisely considering the level of emotional intelligence as an important factor for good management. By Lic in Psychology Noelia Taborda.

Finance is a set of activities ranging from decision making, to moving, controlling, using and managing resources such as money. It refers to the way people relate to the environment through its use.

Emotional intelligence is the ability to see and understand people’s emotions correctly and accurately; It involves the ability to adequately assimilate and understand emotions to regulate one’s own and others’ moods.

Emotions can be the greatest strength or the greatest weakness in money management, therefore, emotional intelligence is appreciated as a good tool for building saving habits, as well as good consumption habits, carrying out good financial planning, establishing a personal budget, which helps is You have healthy personal finances, because when making decisions it is very important that emotions are controlled and not carried away by impulse.

¿What causes this emotional discomfort?
Uncertainty, lack of information, information overload, or irrational social behaviors can contribute to emotional distress. This can lead to insecurity or a lack of control over the situation they are experiencing.

Coping refers to the range of thoughts and actions that enable people to manage difficult situations; Therefore, it involves a process of effort aimed at managing (reducing, mitigating, tolerating or controlling) internal and environmental demands in the best possible way. In summary, it can be said that coping consists of constantly changing cognitive and behavioral processes that are developed to manage specific external and/or internal demands that are evaluated as surplus or overflowing one’s resources.

According to experts Lazarus and Folkman, two general types of strategies are usually distinguished:

1. Problem Solving Strategies: These are those that are directly aimed at managing or changing the problem that is causing the discomfort.

2. Emotional regulation strategies: These are methods aimed at controlling the emotional response to a problem.

In any case, there are actually several possible coping strategies that a person can manage (release, distancing, self-control, acceptance of responsibility, escape-avoidance, positive reappraisal). To a large extent the use of one or the other is usually determined by the nature of the stress and the circumstances under which it occurs. In this case, we live in a society that goes through external factors such as inflation and how this affects our homes.

In the face of this uncertainty, one type of strategy that can be applied to alleviate mental health aggravation and is usually very effective is planning, that is, thinking and developing strategies for problem solving. It corresponds to setting an action plan and following it.

Although it won’t solve the country’s problem, developing a planning strategy for the home has a direct impact on mental health, as making the right financial decisions will significantly influence your state of mind at that time.

Sustaining any kind of planning requires, first of all, what is called self-efficacy, which deals with beliefs about one’s abilities to produce certain behaviors.

And on the other hand, maintenance and persistence, as they are the two pillars that help maintain planning. Thus, it can be said that without action, there is no progress.
Article published in Educational Content of Icarus Health and Life Center