Youth unemployment will be a big issue soon

Ominous posting from NYT columnist Bob Herbert. His point is that this labor market is even worse for young people, ages 16 - 30. They are severely underemployed, which will lead to social problems in a few years time as they lag behind their employed peers. Plus their peers with good connections etc are taking jobs that normally require less education, pushing them even further behind. It's interesting that 30 Rock touched on the social implications of the crash in NY – a return to the very depressing 70s and 80s.

I've always wondered how Gen X and Y were going to be able to afford the life that the Boomers are leaving behind. Demographically speaking, there aren't enough high earning people under 45 that could have kept asset prices at their levels. The hoops that people needed to go through to afford a home on the coasts didn't bode well for those prices. I worry most about those who counted on high housing prices to fund their retirement. I don't think there will be enough people able to pay these prices. How far will asset prices drop? Who knows. But cash is ruling the real estate market now so prices will come down significantly.