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“Today the average couple is struggling with mortgages that are consuming 50% or more of their income.” — Pushing Hamburger
Is it any wonder they do not vote as much as old people, and is it any wonder that many do not see a point in attending college for jobs promised but never materialize or are sent to another country? No, today’s youth are aware of their predicament, and are aware they probably will never be able to retire. The youth of today’s parents were one of the last great generations we’ll see in a long time.
The Baby Boomers: where it started
Just after the Second World War, from 1945 to 1960, there were about 28 births on average per 1000 people in Canada to what became known as “the baby boomer generation.” The problem is that these baby boomers have not had many children of their own, and they are not numerous in grandchildren, either. In 1970 the birth rate in Canada dropped to 17 births per 1,000 inhabitants. Since 2000 it has fluctuated around 11 births per 1,000 Canadians.
This extraordinary 360 degree turn in the birth rate explains a number of important phenomena in our lives over the last 50 years. These facts will now have a decisive influence on economic and social developments that we witness over the coming decades, and certainly between now and 2020.
The remarkable phenomenon of the years 1960 to 1980 has been an influx of baby boomers in the workplace. The number of workers who earn wages and pay taxes grew at a astronomical pace and the welfare state expanded rapidly. Among the programs implemented were hospital insurance, health insurance, low cost colleges and universities, social services, public pensions, pensions more generous old and Benefits, among others. Remember that from a financial perspective, the baby boomers had it easy. Money was no problem. The economy was advancing relatively well with a high manufacturing and productive capacity, and times were relatively good. We had a relatively low debt per capita burden, and were exporting more than we were importing — a key sign of a healthy economy.
In coming years we will experience the other side. The baby boomers born between 1945 and 1960 are now between 45 and 60. In 2020, they will be 60 to 75 years. Most of them will have began their retirements. As they entered the job market en masse between 1960 and 1980, they will leave in large numbers by 2025. To add more complexity to the mess, our manufacturing and productive capacity as a nation (in Canada and the Unites States) has been relatively eviscerated, and has left a largely debt-laden economy. Indeed, the total external debt by 2015 to 2020 should be around at least 1 trillion dollar 1 trillion in 2015, making Canada’s net debt to GDP ratio about 65%. It’s a long way from Canada at 90% hit in the late 1990s, but stats show, Canada’s total debt is on an upward curve, especially with more “stimulus packages” in the works.
End Of Mandatory Retirement
The Liberal government of Ontario announced it will end mandatory retirement and begin a process to implement this change on December 12, 2006. The government claims that Ontarians are older want to continue gainful employment and that recent immigrants and women workers should work longer because many of them are unable to achieve financial security by the age of 65 years . Support for banning mandatory retirement is also from those who are already financially secure and work in non-strenuous jobs. In what seems like a good decision, the government is giving people “the choice … about when to retire.”
The reality is that the end of mandatory retirement does not give workers real freedom to choose to work longer. Indeed, allowing workers to work longer because it’s the only way they can survive does nothing to expand the options of workers when it comes to retirement. Instead, by eliminating mandatory retirement means workers without adequate coverage (and this is significantly many women and immigrants) will never be able to retire because when others are choose to retire later or never at all, it lowers the standard bar. Eliminating mandatory retirement and increasing the retirement age will mean less job opportunities for today’s workers, unemployed youth. There will be significantly less pressure on governments and employers to train and recruit young workers. Employer-paid training is already largely a thing of the past.
The Bamboozled Generation
Are you being stimulated into poverty?
Amazing Article written by PushingHamburger.com
Today’s generation has been so well inundated with lies from an out of control government that they can no longer tell which is up or which is down.
They no longer have the slightest idea of what it was to be a middle class family. They are far removed from the truth that not too long ago their parents lived in a more gentile time, a time when dad worked, mom took care of the home and children, there was job security, some money in the bank and the future for their children was to live in a world that was even better than theirs.
Well, such aspirations just never materialized. Helplessly and more to the point hopelessly that generation that lived in the golden age of America are mourning the morass their children have been forced into.
What that couple has been bamboozled into accepting is that both husband and wife must work to support what they claim is a middle class status. They have been bamboozled into accepting that it’s OK for their children to grow up without the proper supervision of either parent, its OK to be hopelessly ensnarled in credit card debt, it’s OK to live from paycheck to paycheck, it’s OK to live under the constant job insecurity, it’s OK etc. etc.
Here is a perfect example of what a secure job and the money earned was like in your parents time: A middle class single earner family with an income of $150.00 a week lived in a fair sized home ( over 2,000 sq. feet ) That cost under $10,000 with a mortgage of $90.00 or less. That included interest, amortization, taxes and insurance. Percentage wise ( the proper way to evaluate then and today ) that consumed approximately 15% of income.
Today the average couple is struggling with mortgages that are consuming 50% or more of their income.
The above example can be extended to the cost of feeding a family, medical expenses, transportation, college costs, taxes and every other aspect of family life. So why hasn’t this bamboozled generation fought back and taken this entrapment seriously? It’s the fairy tale syndrome. They just can’t comprehend what was and what has been denied to them. They have been brainwashed so thoroughly that it may bee too late for them to think on their own and wake up from the snake pit they have been programmed into.
Job opportunities have diminished because corporate has been helped by government to move factories overseas, corporate has been helped by government to outsource every conceivable job overseas, government has turned a blind eye to the huge growing illegal population that has depressed the hourly wage and opportunity of even the minimum wage market.
A revolution is not only needed but it is your duty. You can read the rest of the last half of this 2 part article from PushingHamburger.com
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