Even though no one quite knows when exactly the upcoming recession will strike, economist Harry Holzer says newer college graduates are among the first to be targeted by employers in an economic downturn. Their lack of experience in the workplace makes them less valuable than others.
Everyone should be preparing regardless, however. The debt-based system we all are being forced to live under will not last forever, and when it comes crashing down, there will be incredible financial catastrophes for both businesses and individuals.
According to a report by Yahoo, during the Great Recession, which lasted from December 2007 to June 2009, and during the 2001 recession which Americans endured for eight months, new college graduates were the most likely to be laid off. Holzer, who is a Brookings Institution economist, said: “Young people get hit the hardest during a recession and that will include young college grads. It will take them longer to find any job, and it will take longer for them to find the jobs they really like in terms of beginning a career.”
Signs have been surfacing for months now that the recession is on the way, so preparations should be made to mitigate the financial stress of a recession. Both in the US and globally, these signs are appearing more often and more severely. U.S. manufacturer growth slowed to the lowest level in almost 10 years in August, according to results from IHS Markit data. And last week the Federal Reserve reported that manufacturing output fell 0.4% in July from a month earlier, and was 0.5% lower compared with a year ago.
The government has also been whitewashing the jobs numbers.
500,000 Fewer Jobs Were Created In The U.S. Than Previously Reported
And a closely watched part of the yield curve inverted on August 14. The yield curve is a powerful and accurate predictor of an economic downturn, and an inversion has preceded each of the last seven recessions dating back to 1969.
Yield Curve Inversion Hits 3-Month Mark: This Predicated All 7 Previous Recessions
The time to prepare was several months ago, but if you are just getting around to it, it never hurts to start now. Limit liabilities and stash some extra cash away. It never hurts to buy gold or silver either – not as an investment, but as insurance. You could also consider picking up some kind of passive income.
In his book, Don’t Save for Retirement: A Millennial’s Guide to Financial Freedom
· Redefine wealth as a philosophy, not a dollar amount
· Turn passion projects into viable business plans
· Cut unnecessary spending in unexpected places
· Start generating passive income now!
It Took 22 Years to Get to This Point
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I’ve always believed only a small percentage of millennials at best will wake up and do something to prepare. The vast majority of them have been on the govt. koolaid for so long that they’re hopeless. But that’s just me.
You think the Millennials are bad, check out the generation after them. Those mofos ARE the government kool-aid.
Like… absolute true believers man. It’s cultish and creepy.
Story begins with all “The Sky is Falling” quack-crapity as found on this site since its inception.
Then subitly, Mac wants the reader to buy some doofuses book.
Infromercial for a book, “How to Serve Man” by the 2 Ton American Cannibal Society.
Young people don’t need to buy. They need to get off their ass and get a job.
I didn’t know they had jobs in video games and texting…
Sure they do. It’s called “cam whore”.
Sucks if you’re a dude…
Buy your stocks via postcard or telegraph, and let us know how that works out.
Genius, that’s all they really know how to do, stupid things like that.
Bullllllllshitio
Spoken like someone that’s never been in the workforce.
Every layoff I ever saw, it was the most experienced guys that got it because they cost too much. Then the company hires in a bunch of fresh no-wage college slaves and just beats on them to produce. They have no fucking idea what they’re doing, either. Zero experience.
Harder to do now what with all the “hostile work environment” laws (which didn’t exist back when I saw this) but I’m sure they’ll attempt to run the same playbook.
Everyone be like “made in China is garbage” – wrong-o. DESIGNED in China is garbage, that’s very true. MADE in China… they’re like a xerox machine, they will do anything you want, sunshine. Precisely, too. What the problem is… is what I’m describing above.
American companies think they can crank out garbage and coast through the bad times on their brand name and SCAPEGOAT China for it and you’ll somehow keep buying the crap…
Almost everyone is broke at 30 as I was and I had a 1st class job that was getting more and more uncommon three decades ago. I can’t imagine being faced with obtaining a STEM degree only to have an Indian (from India) competing with you not just globally but domestically. I steered my son into becoming an electrician. He specializes in solar, has journeymen papers and takes his Masters License Test this Wednesday (fingers crossed). I told him you need “educated hands”.
K2,
“I can’t imagine being faced with obtaining a STEM degree only to have an Indian (from India) competing with you not just globally but domestically”
I’ve been there and done that.
Actually the Vietnamese were the hardest to compete with.
They were also some of my best friends( I’m a Vietnam war era vet). They are survivors, they were boat people.
Until you work with people from a different culture, you don’t learn their weaknesses.
I could compete with any similarly educated and experienced Asian, in America, no problem. I did it for years.
I had many Asian bosses.
Education and self discipline are how you do it.
It also helps to like to fight, even if you lose.
I sat down and tried to figure out how many millennials I had in my family. They are mostly all second cousins. I’m too old, heck my daughter will be 45 this year. Most all the millennials I’m related to by blood or marriage are working and doing just fine, one is even a Navy JAG. Nobody is rich, but they are growing and fighting the same things we fought as we grew up.
I suspect they will do OK.
You’re daughter’s 45? Damn, you are old
Manufacturing contributes 11.4% to US GDP while in China it contributes 30%. So who is the developed country?
China.
The US is infested with Democrats.
China ki lled all of theirs.
rellik
Actually, the brainchild of handing over US industrial capacity did not come from Democrats but they being the corrupt SOBs that they are went on for the ride. Clinton signed what GH Bush proposed.
This will give one a conceptual idea how thoroughly the US has been industrially eviscerated not just in machinery but in skilled labor.
h ttps://www.paulcraigroberts.org/2019/08/26/can-the-american-economy-be-resurrected/
K2,
Interesting article.
I’ll repeat, we have a Democrat problem.
until we address that, America is toast.
Rellik, if the dems are done away with a lot of problems could be solved.
I came of age at the Millennium. Guess what that make me.
Here’s the line, that burned the image into my retinas —
“…money matters that he never learned at school or at home.”
(To the tune of Institutionalized.)
We had an investment contest, called a ticker tape parade, at highschool, yet were never taught how to win it.
I looked that teacher in the eye, making him very uncomfortable. (Hope you are reading, Mr. O.)
I asked basic hiring sorts of questions of jive ass, boot lip recruiters, so politely. (Who knew this low-T teacher was capable of yelling.)
I got in trouble for making bean-related comments, about Mexicans causing a disturbance, with literal beans.
Also, I won the pizza party, twice.
When I take formal matters out of the hands of dysfunctional, Boomer assholes, everything works great and makes perfect sense!
If I could go back in time, 25-30 years ago, and give myself advice, I would say to never sweat. Project positivity (as a ruse), blandly. Do not give any major news, aside from the most banal pleasantries about the weather, get emancipated, and go missing.
If I could go back in time and give myself advice, I’d tell me “ don’t bang your platoon seargent’s hot German wife and you won’t be nixed from flight school” (helicopters)
rellik
h ttps://onenewsnow.com/business/2016/12/27/disney-fires-american-workers-hires-foreign-replacements
This is out of order because of the convoluted mess that has occurred on this block updating. Regardless the laws have changed and the Vietnamese were the “exception to the rule” then. Now US companies are recruiting foreign technical labor to replace US by labor not to mix words firing them. The US labor to obtain their severance package must train their lower paid foreign imported replacements. I’de say that is an experience that did not occur “back then”.
Pinocchio – The Coachman’s Proposition
https://www.youtube.com/watch?v=lmzckexJV0M
Alice in Wonderland – The sailors hornpipe & The caucus race
https://www.youtube.com/watch?v=is7O9f4U990
Seems like an upstanding amusement park and serious employer with actual work, to do.
Pinocchio – The Coachman’s Proposition
h ttps://www.youtube.com/watch?v=lmzckexJV0M
Alice in Wonderland – The sailors hornpipe & The caucus race
h ttps://www.youtube.com/watch?v=is7O9f4U990
Seems like an upstanding amusement park and serious employer with actual work, to do.
K2,
This is going to sound really arrogant,
but most those people being replaced are
idiots. I could train a 8th graders to
do their job.
There is a reason they used to hire women
to type in offices was because hiring men
to do such a menial job was not cost effective
at the time.
“Coders” aren’t any different.
I read several Computer languages like you
read a book. So what? I know how to design
compilers and interpreters that make those
keystrokes do work.
The hard part is designing the stuff so it does what
the customer wants and that is really a small part
of the total employees and they don’t let those people go.
rellik
“This is going to sound really arrogant,
but most those people being replaced are
idiots. I could train a 8th graders to
do their job.
Can I assume that you have been to these establishments? Your condoning US business combing through the world finding impoverished labor and legally bring them to the US to replace an American working here? So US labor must compete with the global lowest labor cost right here in the USA? Hell, your great great grandkids will be pulling a rickshaw. This cancer starts at the bottom and works its way up. Its very (hate to use the word) democratic. We’ll end up with the gated / guarded communities of Central America with the haves protecting themselves from the have nots that they have helped facilitate.
I see the 1930s with John L Louis, Walter Reuther and the rest rising. Glad I’m retired and too old to seriously get involved however I never crossed a picket line in my life and I’m not about to start at 62.
“Can I assume that you have been to these establishments?”
How about I’ve been to a lot of company schools. My employers sent me to schools. Everyone of my lifetime’s worth of employers sent me to, and paid for my educations. Military, Aerospace, and University’s. I know of what I speak.
The real problem is organizations hire and train people like me to get rid of people that are a pain in the ass to do labors.
Employees are a pain in the a$$! I went through years of Management training and decided I could not be a good
supervisor. So I stuck to engineering.
I’m retired, so no worries. I just do contract work.
But there are very smart young kids right behind me to continue on.
I crossed the strike line. I had given my notice to quit and talked it over with the strikers and upper management. A manager asked me to do a job I could do, but normally was done by a striker, I refused. He did the work, threatened me, and bought me lunch afterward.
That answer you?
So I’m still vague on the idea that employers should be able to scour the world for the cheapest labor, bring them in legally into the US and fire the existing more expensive US labor. Simultaneously requiring said to be fired US labor to train their replacement or not receive their severance package.
All I can say is WOW.
This reminds me of a story. I like stories especially when I tell them.
When Clinton signed NAFTA we the blue collar guys were having a discussion in the control room about its obvious to us negative impact. An associate / friend who had a BSME from Drexel University was there and chimed in how it would be beneficial making industry leaner and more productive. We recited the, “giant sucking sound” of Ross Perot. Go forward a decade and Chuck (the engineer) was looking at the Mechanical Engineering Trade Magazine and was shaking his head. I asked, “whats up Chuck”? He then recited how they’re getting engineers in India to displace engineers here for a lot less money. I said, “Hay that NAFTA (euphemism for all free trade) doesn’t sound so good when it hits home does it”? Manufacturing produces wealth. Raw materials in this door, labor in this door and out that door a product worth more (value added) ; instant wealth creation. 20% of US GDP is financials, insurance and real estate (explain how that actually produces wealth), then comes 12% of the professional and business services (still confused), then 12% government (somehow the parasite has become the breadwinner) then comes manufacturing (that actually, tangibly produces wealth) at 11.4% (and dropping since……drum roll please……FREE TRADE).
Well here is another article about US workers being replaced (fired) and required to train their replacements.
h ttps://www.numbersusa.com/news/american-workers-replaced-foreign-h-1b-workers-speak-out
Kevin2, I could tell similar stories about what NAFTA has done to our people. I’m also against the idea of these corporations bringing in these cheaper, less-than-capable foreign workers and giving our people the boot. I don’t tolerate any bleeding heart telling me to have compassion for these foreigners coming in when our [people are being turned into social outcasts for no good reason. I’m glad I got out of Memphis when I did.
See how Occupy Wall Street turned out, those who peacefully protested were sprayed with tear gas in their faces. Imagine a larger uprising and the tactics used to stop free speech and association today.
youtube.com/watch?v=My_cNzQGS8E
The caviar and lobster eaters were looking out the windows of those ivory towers.
Sheeple, on both sides of the law, butted heads in the dirt.