I thought psycologist often cross into psychiatry and give out drugs like candy?
No, psychologists are not permitted to write prescriptions.
Also, some people who are, say clinically depressed, need to be treated first medically, so that their mood stabilizes. Most shrinks recommend talk therapy for those on medication. Medication does not solve your problems.
Now you're asking scary questions. Yes and No. In most states, psychologists aren't allowed to prescribe or dispense prescription drugs. Only MD's (or someone working under the supervision of an MD, like a Physician's Assistant) can do that. If a psychologist thinks you need to be on some sort of medication (antidepressant, Ritalin, etc), they'll send you to an MD to confirm the diagnosis and get a script.
But a couple of years ago, that standard was changed for those that live in New Mexico. I'm not sure what other states (if any) followed suit. Maybe California? I found THIS through Google. I don't know how it turned out, but to me the idea of someone that doesn't have any medical training be allowed to prescribe mind-altering drugs is a bit scary. IMO, that WOULD lead to antidepressants being prescribed like candy, but I think some of that happens anyway.
Case in point, my ex d-i-l became unhappy and discouraged with life in general. She wasn't clinically depressed or even close to it. What made her so unhappy with her life was that she thought that by that point in her life that she and my stepson should have achieved a more comfortable lifestyle. Hubby tried to talk to her about his son's lack of ambition, and would have happily whacked him upside the head, but every time he tried to get anything out of her she would clam up and refuse to say anything bad.
She started seeing a psychologist or therapist -- I don't know which. Instead of working with her about either confronting and trying to solve her issues -- really doing something constructive with her or my stepson, or learning to accept the situation if that was the appropriate response, she was promptly sent to a Dr. who wrote a script for Prozac. So it still got prescribed like candy anyway. She described the medication as wonderful, "smoothing out all of the peaks and valleys." IOW, she was numbed. So she never confronted her problems, and, not surprisingly, they didn't go away. They're now divorced and she is still on Prozac. Got it like candy.
I do not mean to imply that these drugs should never be prescribed to anyone. I do believe that there are people with severe imbalances beyond their control, and the drugs can be a godsend to them if proper care is taken to find out which ones work in each individual situation and not over-prescribe. I would never presume to tell someone that cannot function or get out of bed or is suicidal due to true clinical depression, or has schizophrenia that they shouldn't be getting help through pharmacology.