The recent economic recession has influenced consistently the life of the modern society. At the same time, the impact of economic recession on different generations differs consistently because representatives of different generations have their own set of values. Therefore, their perception of the economic recession varies consistently. In actuality, the younger generation, including generation z and generation y are the most vulnerable to the impact of the economic recession, whereas generation x and baby boomers are less vulnerable to the negative impact of the economic recession because of the difference in their lifestyle, views and values, but, even though the degree of the impact of the economic recession varies, it still influences all generations.
The overwhelming impact of the economic recession on the life of people is obvious. In spite of their generational differences, people suffer from the negative effects of the economic recession because the economic recession has influenced the financial position of the overwhelming majority of the population. The level of income and revenues has dropped consistently, while many people have lost their jobs and now they suffer from unemployment and lack of financial resources to maintain their traditional lifestyle. As a result, numerous financial problems have influenced and changed the life of people representing different generations.
However, the perception of the economic recession and its effects by different generations differs consistently because they have different sets of values and their attitude toward material values is different. In this respect, it should be said that baby boomers is the post-World War II generation. Baby boomers are different from the pre-war generation and they believe that they challenge the traditional values of the past generations. However, their challenge was quite relative because they preserved core values with a shift toward larger liberties compared to the past.
At the same time, baby boomers are the generation that maintains the labor market because they comprise the core of the labor force (Owram, 194). However, baby boomers retire and, today, generation x is coming to replace baby boomers as the core of the labor force market. In such a situation, the retirement of baby boomers en masse increases the pressure on the national economy because the amount of economically active people is reducing rapidly, whereas the younger generations are less numerous to replace baby boomers (Â Schuman and Scott, 263). In this regard, the generation z, which consists mainly of children of baby boomers can potentially replace their parents.
However, the post-baby boomers families comprise of smaller number of children. As a result, the pressure on the labor market is likely to increase and the current economic recession has revealed the existing gap in the labor market which is likely to grow wider as the demand on the labor force increase when the national economy starts rising.
The generation x is the generation that followed baby boomers in the 1970s ”“ 1980s (Alsop, 136). This generation grew more concerned with material values, whereas generation y and z are even more market-oriented and consumption-oriented than the generation x that differ them consistently from baby boomers. The generation x proves to be the most vulnerable to the negative impact of the economic recession because they are still actively working and it is today they are working for their retirement plans. Unlike baby boomers who are either already retired or about to retire, the generation x should carry on all the hardships of the economic recession, especially unemployment and consistent drop of the income level. The recent economic recession and the drop of income can deteriorate the retirement plan of the generation x, especially if people lose their job or, what is worse, their homes because they cannot afford maintaining the traditional standards of living they used to before the crisis.
In such a situation, generations y and z are less vulnerable to the negative impact of recession. Even though, some representatives of generation y have started their professional career and they face certain difficulties with employment because they do not have extensive professional experience. In the time of economic recession, they fail to compete with the generation x in the labor market. Nevertheless, a part of the generation y and the entire generation z just keep studying and they are just getting their education (Tapscott, 214). At the same time, these generations are less dependent on employment because these are generations oriented on modern telecommunications and information technologies. Therefore, they can start business or job online that means that they are more flexible in regard to the situation in the labor market. In addition, they are more oriented on knowledge-based industries compared to baby boomers and the generation x. On the other hand, these generations are the most consumption-oriented and, therefore, they suffer the most from the drop of incomes of their families and their deteriorated financial position.
Thus, taking into account all above mentioned, it is possible to conclude that the economic recession has different effects on different generations. Baby boomers are already retired or about to retire, while the generation x carries on the burden of the economic recession and its negative impact on the labor market. At the same time, the generation y and z are young and have good prospects in their future career but they suffer from the drop of income because they are consumption-oriented and they need to decrease consumption because of the crisis.