A Conference Board of Canada study has determined kids today don’t have it as good as their parents did. Authors of The Buck Stops Here analyzed Statistics Canada’s income records for 1984 to 2010. They found that though Canadians in their 50s and 60s have always been in better financial shape than those in their 20s and 30s the wealth gap between the generations has grown. The report speculates this is due to a declining job market and stagnant wages for junior employees while more experienced older workers tend to earn more today than elderly workers did in decades past.
The report says the wealth inequality is worrisome because “a younger generation that feels left behind could lead to new social tensions.” Also as the older baby-boomer generation moves into retirement a smaller and poorer pool of young workers will be required to drive economic growth and pay for their elders’ social assistance.
“In addition young adults now tend to be deeper in debt largely because of higher house prices and therefore may face more financial uncertainty than their parents” the report adds.
It is not all dire news though as the study found women’s incomes have grown by leaps and bounds due to better education relative to the mid-1980s and the fact that nearly all women work today. While it is good news the low salaries and minimal female workforce of years past mean the measurement essentially started at zero.
