Leap:“What if a deep recession was good for the millennials…and the major business people among them know it.”
A good recession is good for few…only those holding lots of cash and willing to commit it just before the recession ends.
If you are working and saving, your savings buy more equities. But nothing says they will quickly to back up. Could be 10 or 20 years like 1929-1945 where people finally got back to where they were in 1929. Meanwhile, those who could invest (not many during the depression) made out fine.
Leap:“Meaning the seniors hold more in equities. The market is falling and the seniors are selling at lower prices.”
seniors likely hold a lot more in equities - and especially home equity as the majority have ‘paid for houses’.
Some seniors are selling to meet their RMDs and living expenses. Many are not and of course SS is inflation protected
Everyone is suffering from higher gas/diesel prices, much higher prices at the grocery store, higher prices eating out, higher medical premium costs, much higher car purchase costs, much higher travel costs.
Leap: “It is a nasty world. We discovered that when the baby boomers quickly got ultra nasty and embraced supply side economics. A screw Americans approach to life and economics.”
Demand regulated economies always flop. Russia…Cuba…Venezuela… the more the government controls, the worse everyone is - other than the fat cat oligarchs.
Leap:“Now the baby boomers are retired and economically speaking the millennials are picking over the bones.”
Hardly. The lower and middle classes are suffering the worst of it. Most baby boomers are doing fine. No families to raise. Health care paid on Medicare. Don’t drive/travel that much any longer - so don’t wear out cars. No giant family food bills. Heck, a teenager or two can eat through $100 a month each in food bills.
Leap:“This recession has opportunity to feed all over it for some folks. Build back better is the mantra.”
the current deficient is going to hurt. Worse, the interest on the federal debt is skyrocketing as treasury rates rise to over 2%. 31 trillion in debt now is costing tens of billions in interest. and going up.
You can buy all the stock you want at current levels. The market might drop another 10 or 20%…or more. Check your crystal ball. You too can lose in the market - no matter how old you are. Most seniors are NOT buying stocks.
This year I sold 0.6% of my stocks…half in Jan at market peak, half in Sept. Wow… to get enough for my RMD in my IRA. Dividends and interest, and SS, a teeny pension, provide all the income I need these days. I’m not ‘going broke’ and the market isn’t going to kill me to sell a teeny bit in a ‘down market’.
There will be two main issues come Nov and one of them is the strain on pocket books - like the original post said.