Young Canadians still balk at recession, survey finds

Please consider also that people of this age range, (myself included), generally had a negative or near zero net worth when the recession began. Whether it is a student loan, a young mortgage, a youngster, or a toxic girlfriend or boyfriend, these folks had nothing saved up before. Very little invested. And a low end, (possible shitty), job! I hate to smear my own age bracket, but being young in yesterdays world was tough! How much worse did the reccession make things for us? Not much. Tim Horton's is STILL hiring, but Time Horton's is still paying MINIMUM WAGE. Hard work and an education don't dig oneself out of the whole like our parents and grandparents think it can. The world is a different place. The bonus of a small or non-existant investment protfolio means we haven't lost much. 35% of $0, is still $0. I do feel sorry for those my own age who suddenly can't get credit enough for a mortgage for no fault of their own, but the rules of life are always changing.

Us youngsters are in the best position now with lower prices, buying oppertunities and a stock market poised to go back up again. But do any of us have any money to capitalize on that? Getting started has always been hard...the recession isn't the problem...the whole damn system is!

Indeed, as our current unsustainable ways of consumerism, the system as a whole is flawed to say the least. The fact that most of the so called "world economy" is dependant on non-renewable commodities such as oil and consummer spending which itself is dependant on having capital and / or credit in order to spend is unrealistic but by design.

Slaves to this system...the concept of money is fictitious, a scheme where bills are printed, while backed by nothing, by the federal reserve at interest per dollar to the government in which perpetual dept is assured and can never be repayed by the borrower...including the IMF and central banks in the picture at different levels. Such practices are well known to the wealthiest families such as the Rockefellers, Warburgs, Morgans to name a few...without forgetting the Bilderberg group and their alleged direct influence on how world events are to unfold, intentionally behind closed doors and away from any outside scrutiny.

The real "conspiracy theorists" are the ones that still believe that events such as 9-11 were acts of terrorism and not carefully state planned schemes to keep the war machine and oild pumps running overtime...history repeating itself recession or not, simply but surely part of a bigger plan.

I'll be turning 46 next month. At times I wish I was 21 but knowing what I know right now. On the other hand I'm glad I'm not in my 20's or younger. Lets face it the world economy is in the toilet and people are losing there jobs. I feel sorry for kids finishing university; high student loans to pay and few job prospects. Many employers won't hire recent university graduates when older more experienced workers are needing jobs.

If I can make some suggestions to the younger set. If you live in an urban centre like Toronto or Vancouver move to a smaller community where house prices are more affordable. I grew up in Toronto which is a great city but it was tough to live the quality of life my wife and I have now. We own two home and have no mortgages! Get a good education. I mean study for something that your skills are needed for instance medical, food or financial related. Maximize your RRSP! I know its tough at first but w/ hard work it will pay off! DON'T HAVE CHILDREN! My wife and I are kid free now. If we had to do it over we wouldn't have kids. One more thing. Don't get married before 30! People don't learn in there twenties especially men! Good Luck!

inexperience and no education is the reason why youung people are spending like its 1999, having a degree in something means diddly..you need to understand the REAL world..that is education..just like I read in the Star today, a 28 yo buying a $539k house by himslef because of low rates..that purchase will come to haunt him and mnay others like him.

I was born into this world with no money, I will leave it with no money :)

Most of us are too young to remember the nasty recession in the 80's that sent mortage rates to 20% and demanded upfront payment of thousands of dollars. My parents had to come up with $15,000 in cash for their mortgage or lose the house. For our generation, this is our first real recession that we are experiencing first hand. For our parents, this is their 2nd or 3rd nasty one. When you come close to losing your house 2-3 times, I can see why the older crowd is more negative. I would throw the keys at the bank that asked for $15,000 (1980's money) payment and sent my mortgage up to 20%. But like I said, most of us don't know that. I just found out about it back in December.

In that age group, (and I was there in a pretty bad way one time, I had a lot of digging to do to get out of that hole) many have never looked forward into their future/lifes to plan and consider for the future, they live for today, simply because they dont have the funds to do so as the choices they have made to date have them paymented to death with everything that is a buy now pay later attitude. Its part of growing up. Sometimes people need to get a financial wake up call when the banker comes knocking and we cant make payments and we start loosing our lifestyle, and then we spend that last 20 bucks on beer to forget about it for the evening. It means that if one is overextended, had too many payments, not enough cash saved up, what choice do you have? $20 would pull you through, but its a damn good start, because its attitude. If there was cash available, there wouldnt be any payments. Then factor in loss of income or a reduction in it, and here we are.

Many people even older that this demographic group dont even have 6 months of income set aside should they say....break a leg, or take ill, or wind up looking for a job for 3 months. I've seen young people loose houses over a 1.5% interest increase after 5 years of payments. Mortgage term expires, new rate applied, and with only 1.5% higher rates, the new payment exceeds the old one just due to interest, and boom! Not enough money to do that. Why it doesnt scare younger people is beyond me. Can mean only one thing. They didnt think about it, it cant happen to me type of thing. I'll pay for that later....

The only reason anyone would do this to themselves is that they simply havent thought it could happen. And when it does.......they will never forget it.

Nice comment Earl ........ DON'T HAVE CHILDREN! If we had to do it over we wouldn't have kids. "

Hope your kids don't see that.
I could ramble on & on about my financial situation,but won't. Too long a story...lost job after 13 yrs with same company...a 20 yr old marriage that went down the tubes a few years ago.., lost house, went bankrupt..etc, etc.

However,, I am a strong & determined woman who has raised 3 young adults, 18,20 & 25, alll of whom are either working full time or going to college with the help of cashing in my RRSP's (ya not much of a retirement fund for me !) and student loans. I am very proud of them all and love them dearly.
Regardless, how I fair out..as long as I've got a roof over my head and food on the table, I could care less for myself and my lack of many extravavent material possessions, as long as my children are healthy, independant & happy individuals.
So, you younger adutls out there..listen up...IF you wish to have children, go ahead, because you'll never have enough money to feed, clothe & educate your kids anyway, but, you always manage somehow.
And most of all...don't deny you and your mate the opportunity to experience the most unconditional love in the world...YOUR KIDS !
There, I've said my piece

I'm happy for you Maggie! Sorry to hear about your marriage! My friend; who is 48 and a competitive runner/triathlete like myself left his wife and 2 daughters for a young athletic triathlete half his age. She's hot and he's a scum bag for doing it. I don't hthink it will last. I wouldn't dream of leaving my wife. She's in awesome shape and health in the prime of her life. I'm so glad I still have a young looking athletic body and a strong libido that can satisfy her so she won't go looking for a younger model. Maggie; women don't need men. Get a Toy they don't talk back!

This frustrates me...you think that all younger people have no real concept of what is going on in the world! We probably have a better understanding then most 40+ year olds. I am 25, purchased a house last year for $480,000 and shocking...i am in debt. But it isn't the end of the world, I lost my job 3 months after buying the house and I was able to make it work. I accepted this responsibilty and am very serious about it - all my bills get paid before ANYTHING else - that $20.00 for beer isn't always there but this investment will pay off. It is hard now but I wouldn't change a thing about it - being younger I have more time to fix the problem, save for retirement and have children. I have savings being started to prepare for what could happen in 4 years when I go to renew my mortgage. I will be debt free in 9 months...I am young, I am not stupid, this has all been planned out. I have looked back on the history of the markets and I know what to expect. We do listen to the older generation although it's them that I am struggling with when it comes to struggling with the economy.
I work in sales and I talk to hundreds of people a week. I am so shocked to say that when it comes to 40+ male or female - they have no idea what this economic downfall actually is. They all think prices should be lower and that they just need to sit back and wait. I am amazed that they don't realize that THEY are the economy - when I talk to people my age, they get that...the older generation feels the need to put money under the mattress and hide their head in the sand. We as the younger generation understand that things will get better but only by us helping the economy. We consume - companies make money - why doesn't the older generation understand that?
I will be in my house and prepared if the interest rates go up, I will be out of debt but I am not going to panic today about any of it. History repeats it's self we've all been thought that this will get better...it just takes time...don't ever underestimate the younger generation we will be the ones getting the rest of you out of the mess you all created.

Oh - one more thing...have you ever stepped back to realize that it's the older generations that spent and borrowed more then the should have - they are the ones not paying their mortgages, not paying the monthly bills...not us...so why should we learn from you???

smarterthenyouthink - you prove my point, what are you doing with a $480k house at 25?? the older generation is laughing at you for being stupid..I made money in this RE market in the last 5 years on 3 houses..sold the last one last May and never looked back..at age 30 btw. RE is over valued, the only country that still dosent get it is Canada, everywhere else housing plummeted and is becoming more alligned with income...and so yes, RE is overpriced...just wait it out..I have friends who cant even leave their house because of mortgage expenses...you call that a life?? I call it slavery..RE is no investment, do a little math and figure it out..any increase you make in the future is eaten up by taxes, interest, maint and bills that you are paying TODAY..where is the money..at best, you would preserve some..wake up.

The people you are talking about probally never had to work. They are momma's boys and girls and had everything handed to them or sponge off other people. They don't know what hard times are because they are sheltered brats. Sooner or later it will hit them and when there out of work,no money,and bills are piling up,then it will hit them and there parent won't be there to bail them out,

Jojo - wow...maybe I should go more into detail for you...this is my 4th house. I purchased my first house and age 17! I have made an excellent amount of money - especially for my age. We had 2 choices when it came to buying a house in a market that was full of crap...I do get it that houses were overvalued. Again, I am not stupid...history repeats it's self and I saw this coming. I had 2 choices, buy and overvalued tiny house that I would outgrow in five years, or buy the bigger one that if the market did crash and interest rates when through the roof, be able to grown into. We opted for the bigger one basing our purchase and payments on what would have happen if the interest rates when to 18% as a rule. We could still afford it. Did you skip over the part where I said that money would be there if the rates when up when I go to refinance? I feel bad for your friends but they clearly didn't think ahead. I mean, I could turn around today and sell my house for more then I paid for it - a lot more then I paid - I fought tooth and nail to get the deal I did - my house was listed for $670,000!!! there was no way I was paying that for what I got...and I didn't. I am also smart enough to look at my location, I have a hospital being built within 2 minutes of my house, a block in from the ridge, next to the pond, 2 brand new schools coming and a shopping area. I did my homework...money will be there - and if we have to stay here for 10 years vs the 5 we are planning so what...the price of my house doesn't matter until i go to sell it. It's my home. I am not the problem with economy I am smart, i budget and work my ass off so that I don't have to struggle like so many others are right now. That's actually my biggest motivating factor to do this - always has been...to be self sufficient and not have to be on this stupid treadmill - worrying about what the market is doing to live my life....what a stupid idea.

Well i'm 20, almost finished college (just completing an internship and will graduate in 4 weeks, yay!)

But I have to say that I don't completely agree with this article, I think people my age do care about the recession but to a certain extent. We're just tired of seeing day in and day out headlines about how much debt organizations or countries are in, or how the economy keeps spiraling down, and hearing these talks about our economic situation. Being in public relations where I have to scan the newspapers and watch the news, it just gets really dry and boring. We don't want to be depressed, and we'd love to see the economy pick up again; many of us are going to graduate with high student loan debts and can't pay them back because of the lack of opportunities out there.

But apart from all the depressing aspects of the recession, we just don't care. We work for minimum wage, some of us even work 2 jobs, or we do a lot of volunteering. I've spent the last year doing free PR for different organizations just to gain valuable experience. But either way, our minumum wage jobs will still be there (McDonalds will keep hiring, grocery stores still need people, and certain retail stores wouldn't be able to push and sell their merchandise without young sales associates). We're used to having almost nothing, and to save whatever little money we make, we're not even making a 5 figure salary. So really we have nothing to lose.

I do agree with the article, to some extent, for I teach computer science to many of the age bracket that has been designated. There has always been a certain atitude withi this mix generation, what I have notice for many years, is most of them live in this fantasy world where one must show or pretend that they are cool and are famous, plus most of them believe that they are rich.
The sad part about this is that some really believe they are, and will lie or pretend to such a degree that normal functioning of focus and thinking start to degrade. I have ask many while they are using text messages, as what really is happening when you are using a text message? Almost 100% did not know the internal structure, and how the data is passed on. It reminds me of monkeys and immages.

just wondering whose money smarterthanyouthink used when buying his 1st house at 17....man, don't gloat cause you ain't better than anybody cause of your own talents. you have a head start on life because someone else is financing your life. and please don't try to fool anyone on this forum by saying you made it from scratch. there is no way a 17-yr old could buy a house by his/her own earnings.

so maybe you made good choices in buying and selling houses, but that doesn't change the fact that it wasn't your money that started it all...

Being in the age group mentioned in the article I disagree.

Most in my age group dont care about the recession because they are completely clueless when it comes to economic issues and financial news (and news in general).

I graduated from university a year before the economic down turn (with a mountain of student debt). I had a hard time finding a job, and I didnt know why, then why they were finally admitting a recession was here I pieced it together as to why.

I was fighting with people who had post-grad degrees and years of experience for entry level jobs. Two years of unemployment and underemployment I got fed up and took the risk of starting my own company and creating my own employment (in a field completely different than what I took in university, but it was a hobby I was passionate about).

Now my only regret was going to university in the first place because if I didnt I would be completely debt free today.

So my message to those who were in my position (older or younger) and are sick of not finding employment. Create your own job! It may be something you studied, did as a hobby, or a passion of yours, or simply something you are good at. Open your own company, then if it takes off and does well hire other fellow Canadians.

Thats how you fix a ruined economy. Innovation, self-motivation, and relentless pursuit of what you want.

Anon - I am almost insulted at your comments - two in fact. First, I am female! a shock I am sure. And secondly, I did buy that first house with out anyone's help! I started working when I was 13 and put every dollar away - i graduated earlier too so that I could work more. I also looked around and assumed a mortgage...that was the only way in for me then as I clearly had no credit history. It wasn't an expensive house - It was a townhouse in a nice area of the town I use to live for $82,000. I rented out all the rooms and kept their money and put it towards my next. I am not trying to say that I am better then anyone because at first this was harder then you can imagine but I don't like articles like this stating that in my generation we have no idea of what is going on. It is all about taking control of your life and not letting the world dictate how your life is. I know not everyone thinks like me but I have always been like that. I somewhere along the line I came to the conclusion that you are one of two things...a sheep or a thinker. I am amazed to see so many people my age not reach their potential because they do what we are told...go to work because we have to....etc...We need to learn more about how to take care of ourselves and be less dependent on others, on the government or on society. Now that I am completely off topic...think what you will but I just want you to know that we aren't all idiots and that you should have faith in my generation because I do.

I am 25... believe it or not I consider myself to be pretty well aware of the situation. I work in the Oil and Gas industry, I have stepped out of an HR position, as most oil and gas companies hired more than one HR person to deal with the overwhelming need for staff, to work in a warehouse with the same company. Everyday my job is threatened by the markets and what the media decides to report on that day... with that said taking the position in the warehouse; instead of competing with others who have MUCH more experience than I in the HR world, has actually allowed me to learn new skills... i am a forklift operator and a crane operator....

NOW to get back onto topic.... when the boom hit Alberta, instead of going out buying a big expensive house and the Ferrari/Porsche, I decided to pay off all my debt. I didn't buy a house but i did buy a new Chrysler Sebring. Honestly i am spending more this year than i did the year before because i have less debt, i am renting an apartment larger than most that sold last year, larger than the one my friend pays for monthly and for a lot less money... in fact thanks to the slow down my rent is going down come renewal time.... Not all people who are under 30 are ill educated regarding recessions... when things go up THEY MUST COME DOWN... I remember my friend with a $2000/mnth mortgage ask me "Why pay someone else's mortgage?" Quite simply i loose my job tomorrow I know i can find a job in retail here for $12/hr and can afford to pay everything off and still have a semi descent life buying what i need and occasionally what i want....

Furthermore i believe that the media coverage is overwhelming...ok there is a recession we get it... but telling everyone to save their money and not spend is whats helping drag this out.... i think the media should just stop reporting... look what happened over the last couple of months when they only made positive comments regarding the economy... the markets improved because people went out and spent more.... just a thought....

While I am not advising anyone to go deeper into debt or be irresponsible, the recession will never end if everyone quits spending money. Without custmers, stores and other retailers will have to close. How does that help?

I was 21 when an ayatollah seized power in Iran, three years later a recession took place and V-8 engines ruled American roads at 88km/h. To be anti-war was to be left leaning politically, and yet, we endured from a position of strength in dealing with the soviets. Today, Asian competitors are beating us at our own game that is still using cheap oil prices to keep dictators from getting too saucy in world politics. Most immigrants having fled poverty do not have a younger generation fitting the profile in this article. The entertainment industry is doing a superb job of keeping the rest of us locked in some past sentimentality with outdated values and incongruous attitudes about efficient transportation. Our inefficient dependence on air travel has already misguided us about homeland security that is not addressing the reality of accountability to renewable natural resources. Cold countries are cut out by protectionism, hot countries are burned out, and the middle producing countries are killing rainforests. Brilliant!