LOS ANGELES — Alicia Thomas, 20, had it all planned out: career at a nonprofit, married by 24, mortgage by 26.
Then financial markets went on a wild roller-coaster ride, portending that high unemployment and the stalled economy won’t be rebounding any time soon.
“I don’t want to invest in something I can’t afford, given the economy breaking down,” said Thomas, a political science major at the University of California-San Diego. “I’ll be taking smaller steps.”
Call it Generation Vexed — young Americans who are downsizing expectations in the face of an erratic economic future. Career plans are being altered, marriages put off and dreams shelved.
Fewer than half of Americans believe that the current generation will have a better life than the last, according to a Gallup poll this spring. It was the most pessimistic showing for that barometer in nearly three decades.
Another poll of Americans ages 18 to 29 found that three-quarters of them expect to delay a major life change or purchase. The survey — released just before the Standard & Poor’s downgrade of U.S. debt — was by the nonprofit Generation Opportunity, headed by Paul Conway.
“There’s a generation here being formed under the crucible of unemployment, debt and lack of economic chances,” said Conway. “They’re just seeking an opportunity to get in the game.”
During the fight in Congress this summer over the debt ceiling, frustrated college students banded together to form a coalition called Do We Have a Deal Yet? John Glass, 21, was one of more than 100 student body presidents who signed a public letter produced by the group.
“Our generation is going to take the brunt of the force of the debt crisis,” said Glass, a government major at St. Lawrence University in New York. “It’s going to mean fewer jobs, higher interest rates, more debt.
“This is a raw deal for our generation.”
The economy has been in sorry shape for so long that it has covered a significant portion of young people’s lives. The recession ran from December 2007 to June 2009, but with slow growth and high joblessness, it doesn’t feel like it ended.
Adam Hobbi, 20, is already a veteran at dealing with economic troubles. His father, an engineer, was laid off twice during the recession and then saw his 401(k) topple.
Hobbi will not be playing the market.
“I’m not one to really gamble, especially seeing what my dad has gone through,” said Hobbi, an engineering student at the University of Southern California.
Since mid-2008, unemployment in the 16-to-24 age group has been 13 percent and higher, according to the Bureau of Labor Statistics. Last month, it stood at 17.4 percent.
Dim job prospects have taken some of the sheen off advanced degrees.
Anthony Wong, a business major at Palm Beach State College in Florida, said his peers are debating whether to finish school. They complain that an expensive degree saddled with loans no longer guarantees a good salary or even employment.
“I think it’ll be harder for us to buy homes or apartments or cars — those big life purchases — down the line,” said Wong, 26.
Trying to guess on a secure career path has set Thomas’ head spinning.
“I’ve changed my major so many times, not knowing which will help guarantee a stable income, health insurance and the ability to put my kids through college,” she said.
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