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It's a spectrum. I manage a few teams. I, for a small portion of them, am constantly talking them off a cliff for minor issues outside of their control or responsibilities. Fearing they were going to be viewed unsuccessful. This is despite clear and constant feedback about their great performance, recent promotions, raises, and myself and direct managers saying, "this is a problem for the business to fix, it's a blocker that management needs to fix so you aren't dealing with it". Some folks are very poor at handling that in a healthy way.
Those people you have to talk off a cliff, it's because they are cognizant of the fact that they are but 1-2 missed paychecks from being homeless. And if they're not, well, how long did it take them to get this job? Doubt they have the financial ability to weather another period of unemployment. I'm gainfully employed, get regular raises, but I'm still struggling, despite earning (20k) more than the median worker where I live. The next used car I buy, I'm making sure that I'll be able to live in there if worse comes to worse.
the stress that accompanies poverty is far-reaching, and invades every other aspect of your life. We're all just terrified of dying alone on the street, because right now in the U.S. that's a very real possibility for 60% of us.