Skip to comments.Boomer retirement could slow U.S. recovery
Posted on 08/22/2011 3:33:07 PM PDT by KeyLargo
Boomer retirement could slow U.S. recovery
12:02 PM CDT, August 22, 2011
The aging of the U.S. baby boom generation may slow an already weak recovery as boomers sell stocks to pay for retirement, according to research released Monday from the San Francisco Federal Reserve Bank.
Many baby boomers have already sold some assets in preparation for retirement, research adviser Zheng Liu and Mark Spiegel, vice president of economic research, said in the latest San Francisco Fed Economic Letter.
(Excerpt) Read more at chicagotribune.com ...
GRANDPA EATS DOG FOOD WHILE OBAMA PARTIES
Grandpa goes Galt earlier than planned.
Sorry...just the opposite. Folks lost a lot of money a couple years back and are now forced to work....I see people 70 years old who still work to keep what they have.
Dreamers. Just go to any job site, from Mcdonald's to the local road crew and look at all the gray haired workers. Ain't nobody retiring but the upper crust.
Yep. I plan to be at it when I’m 70 as well.
This economy has been tough on all unemployed, but those closer to retirement age are least likely to find another job and often just start their retirement early.
To the Obama Blames file we need to add:
Obama blames time
That was me, retired end of 08 and been essentially out of the stock market since 2007. I missed Ben’s QE runup but don’t feel bad about it.
Now it’s the Boomers’ fault. Realli, is that how he and his team is spending their summer vacation, thinking up excuses???
They live too long and too well and suck up too much medical care instead of just toughing it out.
Just not enough ice floes when mom and dad can't chew hides anymore.
Propaganda...For every retirement, there’s a new job opening...That will move people off the unemployment compensation roll or off welfare...Just a shift in payout from one agency to another...
The problem is that nobody will hire older workers. What else can they do but take early retirement? It’s a crock.
We obviously need to ship these mooching boomers of to fema camps!
Agreed for the private sector.
However there are millions of public employees retiring now to a life of luxury with no need to worry about having to work at a real job.
This recovery is starting to sound a lot like global warming.
What @$%#@!% Recovery?
It has little if anything to do with "preparing for retirement". Many sold because they either lost their jobs or the market was tanking and they couldn't afford to lose anymore. They also knew that Obama's policies were destructive to the markets. This article is total BS and nothing but a Chicago cover story for their Messiah.
LOL. Oh, I’m a boomer; I just wanted to beat the resident gen-f’ers to the punch.
The Fed is full of shite. Anybody working who can continue probably will continue to work. This economy has dashed most hopes of retirement.
Here in the REAL WORLD there isn’t much in the way of retirement. Stocks are just going to go sideways like they did in the 60s and 70s. IRAs are a fools bet designed to further enrich Wall Street as they make money on both sides of the trade, win or lose, and for “management fees” of IRAs.
Wonder what politician got rich over that legislation?
John Galt took his social security, cashed in his IRA and bought a condo?
The smart ones converted some assets in preparation for the future.
I see that mantra bothers you as well. They just won't stop using it will they? Our local TV news (propaganda) station throws "the recovery" into every story they can as often as they can. My wife is tired of hearing me yell "What @$%#@!% Recovery?" everytime they do.
“This article is total BS and nothing but a Chicago cover story for their Messiah.”
Yes. This article does originate at CNN and is published by The Chicago (Lib-une) Tribune which endorsed Obama.
8/22/11 2:36 p.m.
WLS RADIO CHICAGO
OAK BLUFFS, Mass. (WLS) - After two outings at the golf course during his Martha's Vineyard vacation, President Barack Obama has switched to basketball.
Obama arrived at the Oak Bluffs Middle School on Monday afternoon, within an hour of delivering a statement on the apparent end of Moammar Gadhafi's regime in Libya.
The White House says he's playing basketball with friends and members of his staff.
Obama has played golf twice during his 10-day stay on this resort island off the Massachusetts coast.
We finally found a picture of Obama from college
“For every retirement, theres a new job opening...That will move people off the unemployment compensation roll or off welfare.”
Unfortunately, many companies are not replacing their retirees, but shifting their workloads to other employees.
Grasping at straws, the state-run media seeks to blame the elderly for Obama’s rotten economy.
Ping list for the discussion of the politics and social (and sometimes nostalgic) aspects that directly effects Generation Reagan / Generation-X (Those born from 1965-1981) including all the spending previous generations are doing that Gen-X and Y will end up paying for.
Freep mail me to be added or dropped. See my home page for details and previous articles.
If the money they paid into the pot was misappropriated it will hurt everyone. It was so it will.
What the He** did they think was going to happen? That's WHY the Boomers contributed to their retirement accounts and let the dividends and interest accrue for 40 years.
In other words..."Oh, crap, the bill is coming due".
exactly I have been looking for work for 15 months now. Tons of applications and only two interviews so far.
“The smart ones converted some assets in preparation for the future.”
Yep. Convert some assets but maybe hang onto others just in case it becomes clear that Barry is on the way out. That would be a huge green light for the markets and all that cash that has been sitting on the side lines. We could eventually see a major bull run if that scenario plays out.
My self, back when the dow was pretty high in 2007, I searched to find some stock to invest in. Everything I looked at was over priced. I could not find a decent investment.
I decided the market was due for at least a correction and liquidated 1/2 of all stock holdings as well as IRA’s and 401k’s in favor of cash equivalents. That was in September of 2007. I am too old to put all of that back in the market whether I am working or not.
I have made some small stock investments since then: Ford, Precious Metals, Bank of America etc. They have more than doubled since I purchased them. Mostly, just like corporations, I am sitting on more cash than usual. Too much uncertainty where I might need liquidity.
When companies lay off workers, they sometimes give a pretty good voluntary incentive to older workers to avoid age discrimination complaints. Then they turnaround and hire younger workers at a much cheaper wage and benefit package.
In fact, that was a selling point for social security under FDR. Get the old people to retire so the younger people could have a job. Anyone who has a job had better be making some good investment decisions, to make up for the lousy pension and social security situation.
I expect it to get worse before it gets better, and I don't expect it to get better anytime soon, but not because of retirement. Where's the jobs? Put all the millions of unemployed back to work, and there will be plenty of people saving and investing for their future retirement.
Ha. I remember an article from long ago (1990s?) that basically said there would be a boom as boomers retired, because they would be spending all that money they had saved.
Yah, it's a sad commentary. Yet, some of us boomers have been fighting the good fight since Eisenhower. Read up on Birch and Welch. Some of us over here have been fighting the dragon all our lives, and now it's your turn. Dig in, kick ass, and forget blame. We did. Maybe 'thanks for putting me through college, dad - sure a f'd up world you left us' would be a tad more acceptable in that it involves 'thanks, dad.' Sorry about the world, son. Wasn't a hell of a lot better than that handed down by my depression father, but at least he drummed in a work-yer-ass-off work ethic into me and my brothers.
I don't mean to offend, honestly. Some of us on this side of the age barrier have been fighting the good fight all our lives. I truly hope you can take over for us and do better to turn this around for your children, our grandchildren. We do love you and pray for you. God speed, and God bless.
You were very polite to what appears to be a whiny little shit.
I am really not looking forward to what this bunch of yahoos leave my baby grandson to deal with. Thank goodness when things get really tough they can fall back on their Wii or gameboy skills.
I homeschool, and tend to be eternally optimistic. Even the foolish get older... whether they grow up is to be determined.
Yer a good man Charlie Brown!
I figured it was worth giving a shot.
We’ll see what kind of response I get... my kids carry the flame, as I’m sure do yours.
Retire as soon as you can—all of you. You’ll spend far less and have more money for having a great time (not to mention time for having a great time).
I retired and then worked another ten years in a second career that I liked. But I realized that all I was doing was paying more taxes on the more money that I made. I now enjoy life as everyday is Saturday now. And I pay less tax.
enough is enough...
we've done everything by the book...
paid bills off...
bought used cars....
no grandiose vacations...
for what?....for what?....
what is , is....we've tried to get rich and it just ain't happening...
but those guarenteed pensions...especially the govt ones....it makes it all very easy to just "retire"....
Lots of boomers, including me, aren’t going to be able to retire. Our investments tanked a while back.
I honestly don't see myself retiring simply because I'd be bored to death. Growing up I remember seeing men retire to their rocking chairs and be dead in six months.
So I will endeavor to persevere. ;)