A recent survey found that a growing percentage of young people (18–24) do not have a job and do not make any money. The Institute for Economic Equity of the St. Louis Federal Reserve conducted study this year on Generation Z and discovered that compared to 1 to 5 in 1990, more than 1 in 3 young individuals do not have any income. This might have a big impact on people's life and the job economy as a whole.
The institution looks at the country's economy from the perspective of equality each year. The report referred to young people without a job or education as "disconnected youth," or youth without a source of income. According to the research, the percentage of disconnected teenagers rose to 13% during the Great Recession in 2007–2009, decreased by 2019, and then soared again to 14% in 2020—the year the COVID-19 epidemic broke out.
In line with this trend, fewer young people are enrolling in college and choosing not to pursue four-year degrees because of the high expense of higher education. However, this does not imply that they are not picking up knowledge. "The smartest and brightest have video material for their Ivy League online courses and Kahn Academy tools, making high-quality education accessible to them for free or at a much reduced cost. As per Fast Company, learners have the freedom to acquire knowledge at their own speed and from any location.
The Fed research also highlighted the effects of younger people's deteriorating mental health, which has probably affected how they have experienced the job market. The authors of the research suggested that "creating inclusive, supportive communities with resources for mental health awareness and education may help bridge care gaps."
This week, Ryan Burge, the research director of My Faith Counts, tweeted a picture that showed the rising number of individuals who identify as having "nothing in particular" for a religion and who participate in public life at a low level.
All age groups seem to be less active than in the past, but according to Business Insider, the current state of the economy has major ramifications for young individuals trying to build long-term financial security. The survey found that young individuals are less likely to be able to start a new company, save money for retirement, or purchase a house. The Federal Reserve Bank of Dallas reports that there is also a greater likelihood of worse health outcomes for the unconnected kids in the future.
The research also revealed racial disparities: whereas 53% and 56% of Black and Hispanic teens reported feeling "at least OK" financially, over 70% of White and Asian young people said the same. "The report confirms that even during the tightest labor market since World War II, there is a limit to economic growth's ability to reduce "structural" unemployment that many young Blacks and Latinos face, plus an increasing number of young Whites," William M. Rodgers III, director of the St. Louis Fed's Institute for Economic Equity, told Business Insider.
The research argued in favor of increasing community college access, job initiatives, and apprenticeships. The paper said that improving work outcomes should include focusing on structural hurdles that affect young people, including mental health issues, discrimination, the criminal justice system, and limited access to child care and transportation.
The goal of programs like the Paducah Innovation Hub is to address the skills gap in the workforce, provide young people with professional skills, and encourage them to choose a variety of vocations and occupations. The five guiding concepts of the learning centers are, in the words of Hub principal Steve Ybarzabal, communication, collaboration, fluid intelligence, creativity, and problem-solving.
"Investing in the physical and emotional health of young people is important, as the study confirms. Without it, the economy would not be able to reach its full potential either now or in the future, Rodgers told Business Insider.
The institution looks at the country's economy from the perspective of equality each year. The report referred to young people without a job or education as "disconnected youth," or youth without a source of income. According to the research, the percentage of disconnected teenagers rose to 13% during the Great Recession in 2007–2009, decreased by 2019, and then soared again to 14% in 2020—the year the COVID-19 epidemic broke out.
In line with this trend, fewer young people are enrolling in college and choosing not to pursue four-year degrees because of the high expense of higher education. However, this does not imply that they are not picking up knowledge. "The smartest and brightest have video material for their Ivy League online courses and Kahn Academy tools, making high-quality education accessible to them for free or at a much reduced cost. As per Fast Company, learners have the freedom to acquire knowledge at their own speed and from any location.
The Fed research also highlighted the effects of younger people's deteriorating mental health, which has probably affected how they have experienced the job market. The authors of the research suggested that "creating inclusive, supportive communities with resources for mental health awareness and education may help bridge care gaps."
This week, Ryan Burge, the research director of My Faith Counts, tweeted a picture that showed the rising number of individuals who identify as having "nothing in particular" for a religion and who participate in public life at a low level.
All age groups seem to be less active than in the past, but according to Business Insider, the current state of the economy has major ramifications for young individuals trying to build long-term financial security. The survey found that young individuals are less likely to be able to start a new company, save money for retirement, or purchase a house. The Federal Reserve Bank of Dallas reports that there is also a greater likelihood of worse health outcomes for the unconnected kids in the future.
The research also revealed racial disparities: whereas 53% and 56% of Black and Hispanic teens reported feeling "at least OK" financially, over 70% of White and Asian young people said the same. "The report confirms that even during the tightest labor market since World War II, there is a limit to economic growth's ability to reduce "structural" unemployment that many young Blacks and Latinos face, plus an increasing number of young Whites," William M. Rodgers III, director of the St. Louis Fed's Institute for Economic Equity, told Business Insider.
The research argued in favor of increasing community college access, job initiatives, and apprenticeships. The paper said that improving work outcomes should include focusing on structural hurdles that affect young people, including mental health issues, discrimination, the criminal justice system, and limited access to child care and transportation.
The goal of programs like the Paducah Innovation Hub is to address the skills gap in the workforce, provide young people with professional skills, and encourage them to choose a variety of vocations and occupations. The five guiding concepts of the learning centers are, in the words of Hub principal Steve Ybarzabal, communication, collaboration, fluid intelligence, creativity, and problem-solving.
"Investing in the physical and emotional health of young people is important, as the study confirms. Without it, the economy would not be able to reach its full potential either now or in the future, Rodgers told Business Insider.
