One of the contributions of this study is to look not only at the impact of an overall measure of mental health, but also to look at how the different components of the GHQ measure relate to edu- cational attainment and the probability of moving into inactivity at an early age. We find strong patterns of association with re- spect to the overall measure, particularly for girls. However, we also find that different components are not equally important and that the effects of ’anxiety’ and the other factors are indeed associated with outcomes in opposite directions. Secondly, we contribute by saying something about potential mechanisms through which poor mental health.