For the first time in centuries, we're setting up a generation to be worse off than the one before it

Today’s 40-year-olds are paying twice as much to support retirees than boomers did at the same age.

For the first time in centuries, we're setting up a generation to be worse off than the one before it
The avocado latte is indeed a thing, but young Australians are spending less on luxuries than they used to, while older Australians are spending more. Image: Shutterstock

Each new generation of Australians since Federation has enjoyed a better standard of living than the one that came before it. Until now. Today’s young Australians are in danger of falling behind.

A new Grattan Institute report, Generation gap: ensuring a fair go for younger Australians, reveals that younger generations are not making the same economic gains as their predecessors.

Economic growth has been slow for a decade, Australia’s population is ageing, and climate change looms. The burden of these changes mainly falls on the young. The pressures have emerged partly because of economic and demographic changes, but also because of the policy choices we’ve made as a nation.

Older generations are richer than before, younger ones are not
For much of the past century, strong economic growth has produced growing wealth and incomes. Older Australians today have substantially greater wealth, income and expenditure compared with Australians of the same age decades earlier.

But, as can be seen from the yellow lines on this graph, younger Australians have not made the same progress.



The graph shows that the wealth of households headed by someone under 35 has barely moved since 2004.

It’s not young people’s spending habits that are the problem – this is not a story of too many avocado lattes (and yes, they are a thing).

In fact, as the graph below shows, while every age group is spending more on essentials such as housing, young people are cutting back on non-essentials: among them alcohol, clothing, furnishings and recreation.



Wage stagnation since the global financial crisis and climbing underemployment have hit young people particularly hard. Older people tend to be better cushioned because they have already established their careers and are more likely to have other sources of income.

If low wage growth and fewer working hours becomes the “new normal”, we are likely to see a generation emerge into adulthood with lower incomes than the one before it.

It has already happened in the United States and United Kingdom.

Our generational bargain is at breaking point
Budget pressures will exacerbate these challenges.

Australia’s tax and welfare system supports an implicit generational bargain. Working-age Australians, as a group, are net contributors to the budget, helping to support older generations in their retirement.

They’ve come to expect that future generations in turn will support them.

But Australia’s population is ageing – which increases the need for government spending on health, aged care and pensions at the same time as there are relatively fewer working age people to pay for it.

Demographic bad luck is one thing (some generations will always be larger than others) but policy changes are making the burden worse.


Read more: Expect a budget that breaks the intergenerational bargain, like the one before it, and before that


A series of tax policy decisions over the past three decades – in particular, tax-free superannuation income in retirement, refundable franking credits, and special tax offsets for seniors – mean we now ask older Australians to pay a lot less income tax than we once did.

Disturbingly, these and other changes mean older households now pay much less tax than younger households on the same income.



Added to this have been substantial increases in average pension and health payments for households over 65.

It has meant that net transfers – government benefits minus taxes – have dramatically increased for older households but not for younger ones.

The overall effect has been to make current working Australians increasingly underwrite the living standards of retirees.



A typical 40-year-old today contributes much more towards the retirement of others through taxes than did his or her baby boomer predecessors.

As it happens, it is also more than the typical 40-year-old is contributing to his or her own retirement through compulsory super.



This can’t be what Australians want
Most Australians want to leave the world a better place for those that come after them.

It’s time to make sure we do it.

Lots of older Australians are doing their best, individually, supporting their children via the “Bank of Mum and Dad”, caring for grandchildren, and scrimping through retirement to leave their kids a good inheritance.

These private transfers help a lucky few, but they don’t solve the broader problem. In fact, inheritances exacerbate inequality because they largely go to the already wealthy.

We need policy changes.

Reducing or eliminating tax breaks for “comfortably off” older Australians would be a start.


Read more: Migration helps balance our ageing population – we don't need a moratorium


Boosting economic growth and improving the structural budget position would help all Australians, especially younger Australians. It would also put Australia in a better position to tackle other challenges that are top of mind for young people, such as climate change.

Changes to planning rules to encourage higher-density living in established city suburbs would help by making housing more affordable.

Just as a series of government decisions have contributed to the challenges facing young people today, a series of government decisions will be needed to help redress them.

Every generation faces its own unique challenges, but letting this generation fall behind the others is surely a legacy none of us would be proud of.

It’s time to share the burden, and perhaps an avocado latte while we’re at it.The Conversation

Kate Griffiths, Senior Associate, Grattan Institute and Danielle Wood, Program Director, Budget Policy and Institutional Reform, Grattan Institute

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Do you agree with these suggestions? Do you accept the notion that you had it better than younger generations? Is it fair to say that once super fully matures, the ‘burden’ of supporting retirees will ease? Have your say in the comments below.

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    COMMENTS

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    Chris B T
    19th Aug 2019
    9:26am
    Where is the comparison of Interest Rates To Earnings in Relative Terms Through The Past Eras.
    Especially in the 1990's when interest Rates were 16% plus for home occupier and 28% for investment home loans.
    Each Era has there Own Peculiarity, just like the one before Baby Boomers.
    Arvo
    19th Aug 2019
    2:19pm
    "Every generation faces its own unique challenges, but letting this generation fall behind the others is surely a legacy none of us would be proud of"

    But," letting"? - What's that got to do with us baby boomers? We didn't let this generation fall behind....,they fell behind themselves with the help of current and previous government!!!!!
    Blinky
    19th Aug 2019
    4:50pm
    Baby boomers built this country, they paid taxes and raised the generation who are now in their 40s.
    Many boomers are now either paying x their own pension, getting a part pension or, a few of them, msy be getting a full pension. Most of us boomers r still helping our '40 y.o. "kids" and even their kids.
    LEAVE BOOMERS ALONE IN THEIR OLD AGE. THEY HAVE EARNED THEIR RETIREMENT!!!
    Farside
    19th Aug 2019
    10:23pm
    Blinky, not all boomers have kids in their 40s, mine are still in their 20s. Reality check however, there is no prize for having paid taxes or raising kids. Your taxes helped to build the country we enjoy.
    patti
    19th Aug 2019
    9:58am
    So sorry to be such a burden as I age.......after all I only worked from the age of 15, paid taxes every week, was a nurse and later a social worker, helping many people. I would have loved to be self-sufficient in my retirement, but unfortunately have had to rely on the Age Pension.....lost a lot of money following an assault, and marriage break up. I have done my best not to be a burden. I am sad for the coming generation, but please don't blame ours
    Linda
    19th Aug 2019
    10:25am
    Well said Patti! I think comparing one era with another is fruitless as entire sets of circumstances change. Furthermore setting up intergenerational resentments helps no-one. Although they don't specifically do that, it's in the tone.
    TREBOR
    19th Aug 2019
    11:07am
    Maybe we should just start an Age War, and see how many Twerps survive it...
    heyyybob
    19th Aug 2019
    11:37am
    Soooo much in the 'report' is erroneous and deliberately inflammatory that it angers me with its obvious intent !! The real worry is that there are many self-indulgent folk out there who DON'T know the agenda of the Grattan Institute and will believe the crap and vote accordingly at the next election :( SURELY there wouldn't be a political 'movement' behind this sort of garbage ?? Nah, yeah !!!!
    Arvo
    19th Aug 2019
    2:13pm
    "Today’s 40-year-olds are paying twice as much to support retirees than boomers did at the same age"

    They maybe paying twice as much as we did but, our dollar back then was worth twice as much, if not more, as it is now.
    Arvo
    19th Aug 2019
    2:26pm
    Stop pointing the finger at the baby boomers! We're getting sick and tired of being oppressed and bullied by the "me,me,me younger generation mob". If they can't afford their dope, smack and cocaine they should rehabilitate and work harder like we used to.
    Gra
    19th Aug 2019
    2:56pm
    Could it possibly be that Grattan is Spanish for garbage? The grattan Institute certainly produces enough of it.
    Rae
    20th Aug 2019
    7:51am
    No TREBOR. Not many would survive. You'd get them easily enough while they are mindless, blind and deaf to all but the phone.

    Grattan is all about taxing saving people. They are an ALP think tank like the LNP have the IPA.

    Strangely the IPA like the idea of destroying the middle class saving cohort. We want consumers buying avocado lattes and dresses to throw away after Saturday night wear. Not savers buying homes or shares or bonds . That's for the wealthy to get wealthier.
    Janus
    19th Aug 2019
    10:02am
    There are too many averages and variables for true comparison.
    How about looking at the service length - show me someone under 35 who has been at the same employer/job for more than 10 years. We all did well with long service leave/payments, unheard of these days. Interest rates are another variation (ref Chris BT). We also did more with less, and expected less - maybe we had a TV, rather than one in every room plus computers, and one phone, rather than 1 each. Our houses were smaller and cheaper to heat/cool, and we did not have the temptations of more recent times.

    We need to think about our overpopulation as well. It might be a good thing to allow the population to decrease as us oldies die off. Oh sorry, it's "Jobs and Growth", isn't it!

    Aah! the simple life! Maybe we also thought about the future a bit more?
    TREBOR
    19th Aug 2019
    11:08am
    The old Morris Minor ran just as good as the Land Cruiser, too... third or fourth hand, of course..
    Hasbeen
    19th Aug 2019
    11:19pm
    It is mostly the younger generation that are in favour of a host of green restrictions that are greatly restricting prosperity generated by growth.

    Victoria & NSW won't allow harvesting of new natural gas in their states, or even exploration to find what's there, while complaining about the cost of gas from the northern states. The same goes for a host of wealth producing activities.

    They can't have it both ways, restrict growth with too much greenery, & they nhen have no right to complain they aren't well off.

    Perhaps if they reduced access to welfare of their own single parents & dole bludgers, there would be more for those who paid for the infrastructure they now enjoy..
    CoogeeGuy
    19th Aug 2019
    10:08am
    What a rediculous statement to suggest we baby boomers are the cause of the younger generations woes. We all did it tough over our working lives, scrimping and saving every penny to get ahead, and paying off our mortgages at much higher interest rates. Most of us have paid into superannuation during our working lives and now are at a stage of enjoying retirement. We baby boomers are subjected to all the economic and financial pressures as the younger generation, and most investors are affected by the low interest yielding accounts, and any down turn in the stock market. The Federal Government knew the day that the baby boomers were going the retire was coming, and should have prepared for it by now. And you can’t tell me the OAP has increased that much over the years. Anyone relying on the OAP alone would be doing it tough. I take offence to the suggestion we baby boomers are a burden on the younger generations
    Linda
    19th Aug 2019
    10:27am
    I heartily agree!
    TREBOR
    19th Aug 2019
    11:09am
    The Twerps need to look at their real enemy - government and their mate Robber Barons who are ruining the joint for everybody, and have been for decades now.
    Pisces
    19th Aug 2019
    5:46pm
    Totally agree and have certainly had enough of this rubbish reporting
    Cheezil61
    20th Aug 2019
    11:56am
    Yes exactly right!
    Boomah52
    19th Aug 2019
    10:08am
    I used to often look around the bus on a cold morning heading to work and inwardly laugh at the usually majority of women who back when I was a kid in he 50s would have been home as a housewife most likely looking after their children... yes; people had time to have children then lol.
    Rosret
    19th Aug 2019
    11:02am
    However the government/society now works out their budget on dual income families. Women have to work and the children do miss out. It has made it exceeding hard for a single income family to even rent.
    TREBOR
    19th Aug 2019
    11:09am
    You had a bus? We walked to school in freezing cold or scorching hot...
    TREBOR
    19th Aug 2019
    11:13am
    Rosret, it does my old heart good to see others now taking up the cudgels over the MADIF - the Mandatory Dual Income Family, which I've been discussing now for over 25 years.

    Good to see sense steadily pervading into discussion instead of the normal BS that passes for discussion, the garbage about 'rights' and 'independence' etc, theoretical BS designed by overpaid 'academics' etc.

    Was watching Gandhi again last night, and there was a beaut phrase about hunger etc being terrific evils or something (missed it - just occurred to me now) - when a MADIF cannot make ends meet, something is terribly wrong... and social and economic divides get worse and worse.
    Buggsie
    19th Aug 2019
    10:17am
    It just shows that statistics can be bent to support any argument. We baby boomers worked hard, paid our taxes and most of all saved as much as we could. Successive governments on the other hand have failed to save and provide the necessary funds to adequately provide the pensions etc that we are quite correctly entitled to. Even now the current government is quite happy for younger people to go into massive debt in order to spend, spend, spent .. supposedly to save the economy! Of course the prevailing attitude of many younger people to want it now rather than save to get it is not helping them to move forward. I worked from the age of 12 part time, studied hard on scholarship and now enjoy a reasonable lifestyle with no government support whatsoever. Just as well that my health remains good at age 80, as the government funded aged care system is useless except as a great money maker for the private providers.
    TREBOR
    19th Aug 2019
    11:15am
    You mean these people don't actually know how to put statistical derivations into perspective and context?

    Who'd 've thunk it?

    There is an argument that goes on and on - "Most terrorist acts in the US are not carried out by Muslims" - not - not at all - it's just that the Muslim 2% of the population carry out 26% of terrorist acts....

    Get my drift? It's called 'spin'....
    Linda
    19th Aug 2019
    10:40am
    We saved hard for our first home which was an old weatherboard. We decorated and maintained it over the 11years we lived in it and moved to a better house as we saved more and paid down the mortgage and again to the current one. We started with almost no furniture too. We didn't for a minute expect to buy a new house and new furniture to fill it and add overseas holidays as well.
    Structural financial changes have been a two-edged sword for younger generations, allowing a much higher percentage for the loan to income ratio. And the perceptual shift from a home being a home to a home being an investment instrument is problematic too.
    It's far more appropriate to look to current structural impediments that younger generations face and seek to improve them (as this article suggests too) than to pit one generation against another. Every generation has its benefits and difficulties. It's almost always overlooked that seniors contribute billions of dollars by volunteering, not least in baby care for their grandchildren thus enabling their children to participate directly in the economy of this country. I really think this Grattan report should be picked apart!
    TREBOR
    19th Aug 2019
    11:17am
    .. and seniors continue to pay taxes..... and their contribution from government to retirement goes back into the economy .. something that the annual Bali holiday does not...
    Lescol
    19th Aug 2019
    10:50am
    I am absolutely gobsmacked when I read such hate articles. Exclude the $ numbers and it immediately becomes obvious that each generation has a better life quality than their predecessor. Direct $ comparsion between generations is meaningless. cheers
    Rae
    20th Aug 2019
    8:05am
    Yes I though there were laws against hate speech and bigotry. Obviously not when it is against the elderly and especially home owning older people.

    Grattan keep writing these bigoted ageist articles and research that is biased and which doesn't actually compare at all.

    My grandkids are much wealthier than I was at that age.

    They have 10 x the clothes and shoes.
    They have TVs in their rooms and laptop computers and phones . I had a tiny crystal set radio. We had no TV at all.
    They go on overseas holidays and weekends in city hotels. I went to camp once with sport and rec.
    Rosret
    19th Aug 2019
    10:59am
    It would have been really good if the Government had put the brakes on the housing boom. However so many people think its fantastic that their home has increased in value.
    So the pyramid get rich scheme eventually crumbles - which it has its just only the young are affected thus far.
    BrianP
    19th Aug 2019
    11:00am
    The authors at the Grattan have failed to look at a big enough picture and have not considered implications that have much more far reaching effects on our Australian lifestyle for all age groups.

    Making policy recommendations in isolation without the full picture is irresponsible. There is so much more to consider that I will not elaborate here. The researchers should know better and need to go back to the drawing board. I shudder to think what would happen if Government relied on this short-sighted information.

    2 out of 10 for effort and wasting our time.
    Rosret
    19th Aug 2019
    11:10am
    It is the Grattan Institute - they are always skewing data to come to a simplistic evaluation. Or perhaps the author of the article interpreted the data to come up with a generalised conclusion.

    Nevertheless I have no idea how 20 year olds will ever be able to afford a $1m home. When they do because inflation it make it so then our superannuation portfolio will be worthless.
    I just hope Treasury is keep an eye on the big picture. (but I doubt it)
    TREBOR
    19th Aug 2019
    11:20am
    Just part of the propaganda machine, Brian - slowly raising the water temperature for the frogs.... all a carefully orchestrated plan...

    Treasury is a bat that has lost its radar ...
    Rae
    20th Aug 2019
    8:18am
    Another silly ALP sponsored nonsense like the franking credit stupid thing they did. No though. Pick on one group, savers. They have the money,.

    Kevin Rudd caused this by allowing foreign wealthy to buy up our homes. They still are. How do our kids compete with the world's multi millionaires?

    All this will do is allow foreign Corporate landlords in to buy up housing and the young will never ever get a home.
    TREBOR
    19th Aug 2019
    11:05am
    Wall, Pilgrims, it seems to me that if yer government is intent on bringing in countless extra people, many of whom will end up on some form of support, and simultaneously providing us with a perpetual over-supply of unemployment as policy, and bringing us down to Third World level by perpetuating the Banana Republic with no solid plan for advancement in sight for the future - it becomes inevitable (to quote the philosopher Fraser Anning) that a proportion of older citoyens will become some sort of 'burden' on the budget.

    In that sense government should be charged with self-inflicted injury.

    On the other hand The Twerp Generation who come out with this kind of crap have been a burden on that older generation for life to date, starting from our magnificent hospital system, childcare, improved education and opportunities, transport and other infrastructure - all built by our sweat, blood and chapped hands.

    Maybe they oughta be kissin' our feet, Pilgrims, instead o' pissin' in their own ears.

    To quote that other outstanding philosopher, Pauline Hanson, Please Explain?
    Charlie
    19th Aug 2019
    11:17am
    Forgot to show that the post war baby boomers ( population increase) are a large group of people who all reached retirement at the same time... Governments have seen this coming for years and knew that somebody had to pick up the tab for it.
    Horace Cope
    19th Aug 2019
    11:28am
    Maybe a graph that shows the lifespan of retired people over the years could be helpful. When the age pension was first introduced, the average male lived to 57 years of age and when I started work the average male lived to 66. It is quite obvious that my tax payments only covered an average of 1 year for males whereas today, with a life expectancy of 82.5 years, a worker has to pay tax to support an age pension for 15.5 years.
    Rae
    20th Aug 2019
    8:21am
    Exactly why Keating introduced Super in 1992. The first system actually allowed compounding to work. It's a dog's breakfast now though due to changes every single budget.
    Thoughtful
    19th Aug 2019
    11:28am
    Unbelievable the attitude of some! I agree - figures can be made to say anything. However, even though I do as much as I can to help my children in physical ways, I am of no doubt I am a burdon. Not because of my fault but because of retrenchment late in life which forced me to lose everything and will make me dependent on the government! And do I blame my parents on there fat defined benefits superannuation and living in an affluent area who stood by and watched me lose everything without helping our because they didn't understand how this could happen so it must be my fault? You betcha.
    Thoughtful
    19th Aug 2019
    11:30am
    **burden**
    TREBOR
    19th Aug 2019
    3:22pm
    You've hit on the themes of 'industrial relations' and 'economic policy' - both of which have3 gone severely backwards and are one cause of the current decline of not only Australia, but of the West.

    Many a person was thrown on the streets in their early afternoon years, the time when they should have been consolidating for their retirement - and instead they lost everything and had to start again. Social and economic policy had one hell of a lot to do with that ...and governments respective have one hell of a lot to answer for...

    I'd suggest they start with a National Apology, and then set up a reconciliation council to determine who was rorted and should be compensated.... our Aboriginal brethren have some good ideas there, but they don't extend their reasoning to everyone else who's been short-changed in countless ways.

    Everyone is someone else's Nigger.... that's a quote...
    Rae
    20th Aug 2019
    8:31am
    How could they have helped? Defined benefit people hand all the money over for a fairly adequate but not that much more than aged pension income. A fair bit of it is also still taxed.
    Maybe they didn't have any big sum of money to help you. People have stage ideas about defined benefit income streams in general. I blame the media. Keep saying something long enough and everyone will believe it no matter how wrong it may be.

    I too lost a house in Keating's recession we had to have 23% business loan fiasco. Had to start again. My parents couldn't help. I was supporting Dad as a second wife took everything he ever owned.
    Thoughtful
    21st Aug 2019
    3:06pm
    @Rae You misinterpret. Just to illustrate the feelings between generations. My parents will spend as many years in retirement as working. There is no way they contributed all of the money to their defined benefit pension - my taxes did. Not certain when you experienced your problems and I am sympathetic. I was in my late 50's.
    Lookfar
    19th Aug 2019
    11:34am
    It is comprehensible that most people think they are entitled to everything they can get and the more they get the more they are entitled to, but this isn't so good for the next three generations. The biggest concern for the future generations is the Climate Emergency, every old person who votes for a conservative Govt is in effect consigning our grand children to the dust bin of history, and they know it. There is a slow but steady growth of anger against oldies who vote for parties that do little about Global Warming, particularly that these Liberal voters will escape the bitter fruits of their shortsighted choice.
    It is all very well to admit the newspapers scared you into voting for the heat death of your descendants, but you should be aware that the owners of these news papers, etc. are going to be dead too, and they are so concerned to preserve their super richness that they have lost any sense of morality, and any way they can always buy a safe place..
    Not that that excuses them, but it is extremely unworthy of normal average old people to vote for that party, it will benefit us very little either way, but will have a catastrophic effect on our Grand children, as well as continuing to hinder the great economic boost that Australia going renewable would give to our children, - the ones who are supporting us right now, whether we are "entitled" or not.
    Paddington
    19th Aug 2019
    4:15pm
    Lookfar, I agree with you. The young ones have a different view of the world. They just want a world that greed is destroying. Oldies are thinking now not the future when they are no longer here. It is so important that we prioritise the environment.
    Money wasting is happening with all the eating out. Maybe jobs are there which is also needed which could justify it to a degree. All generations are doing this.
    I know young ones who are not even trying to save. They live with their parents and they earn good incomes.
    Family break ups cause much hardship.
    Baby boomers are still working as well. It takes in a few decades. Many of us in here are in the group before that and not as well off. Super will supply much of the wealth from now on.
    My parents were proud to get the pension and that is fine for many of us. No one should be made to feel bad as the money is spent which helps the economy.
    Welfare for the wealthy costs more than all pensions and benefits. Get that government!
    pedro the swift
    19th Aug 2019
    11:34am
    More nonsense from overpaid unemployable university graduates with useless degrees in nothing. We are now overrun by these so-called "think tanks" who have no real value in setting any but their own agendas. I would like to know who funds these people. Nearly every week some "stink tank" or other comes out with some of this sort of nonsense. Surely it should be the job of the public service and gov. to properly investigate and report on social trends and take the correct action if needed not some bunch of faceless uni. maybes.
    Lookfar
    19th Aug 2019
    4:45pm
    Perdro the not quite so swift, someone else has posted your exact words hours ago, - makes one wonder.. - whatever, - just which govt dept should be investigating and reporting on social trends, and who should decide the correct action, - Great idea but not built into our current structure.
    Of course we all know about Stink Tanks, agree with you there, - most of them are employed specifically by the oil industry and the fossil fuel industry to muddy the waters by denying every trivial detail, (usually falsely) so as to throw doubt on the science of Climate Change, - we even see lots of that propaganda on YLC by folk who don't realise they have been manipulated to keep the fossil fuel industry alive so the owners can keep their snouts in the trough to the detriment of everybody else.
    Have you got a plan as to how a Govt department would investigate and report, and just who would we trust to decide?
    Interesting that the ABC does a lot of what you are asking for but the Govt of the day has been trying to close it down for 9 ? years.
    If the ABC investigates some rort or other and it reflects badly on the Govt, the ABC is villified by being accused of being "all Lefties" or other such nonsense, just who would you put in your panel of wise men to decide on the actions as you suggest?
    Baby Huey
    19th Aug 2019
    11:50am
    The report as I read it is a propaganda document of the socialist left. The report is devisive and could engender intergenerational hate. The report makes no mention of systemic failure of successive governments on both sides of politics plan to for what demographers have been warning would happen since the mid-1970's. The report makes no mention of the baby boomer generation consistently lied to by politicians about working hard, paying taxes including super the past 20+ years, struggling to own your own home, and the government will take care of of you in your old age. BS.
    If, as the report porports, baby boomers have ripped off succeding generations, why is the bank of Mom & Dad not discussed in detail. My wife and I help our son's family with a down payment for a house which was taken from our retirement savings. We know of many others who have help their kids to by giving them their inherintence early so they could get into a house.
    The report is just another example socialist envy.
    Lookfar
    19th Aug 2019
    12:32pm
    Sure Baby Huey, blame Socialism, - after all we wouldn't have an old age pension but for Socialism, - no problem then with surviving on a pension, just no survival, problem solved.
    What amazes me is that so few people are unaware of the major influence in our modern world of the Neo-Liberalism "Philosophy", (which is by the way no more a philosophy than Frazer Anning, etc. it is just a point of view based on justifying greed) - Neo-Liberalism preaches total dismemberment and removal of all such things as health systems, pensioners, indeed Public Anything and replacement with only private everything owned completely by a very tiny group of super rich so everything can only exist if it is highly profitable to Them, which old and sick people are not.
    Of course Nations and Democracy are un-acceptable to the Neo-Liberals, particularly Democracy, - it just gets in their way.
    Angelique
    19th Aug 2019
    11:52am
    Another guilt trip report from the Grattan Institute for our generation. It is sad when they make you feel like apologising for still being alive.
    Lookfar
    19th Aug 2019
    12:37pm
    Angelique, I think you might be dissing the wrong people, - part of any good journalism is analizing and mirroring back to us what is going on.
    What is going on is the problem, not the good journo,- saying it is the fault of the good journo is making the classic mistake of shooting the messenger.
    Farside
    19th Aug 2019
    11:46pm
    Lookfar is correct. Plain speaking reports like this should be welcomed rather than dissed. We benefit from the resulting conversation, even if you disagree with its conclusions, and the way it influences policy and resulting actions.
    Rae
    20th Aug 2019
    8:38am
    Not good research or journalism because it just targets one group of PAYG and doesn't address any of the neoliberal issues creating inequality.

    The ALP want higher taxes via a higher GST, land taxes and the family home in the asset test.

    Apparently going after the corporations and the privateers stripping public funds is too hard.

    Savers are a much easier target.
    invisible sock
    19th Aug 2019
    12:02pm
    Given that the "Boomers" are such a large demographic, I think that inheritances will have far more of an impact, redressing the wealth disparity, than this organization is prepared to admit.

    "Older generations are richer than before, younger ones are not
    For much of the past century, strong economic growth has produced growing wealth and incomes. Older Australians today have substantially greater wealth, income and expenditure compared with Australians of the same age decades earlier."

    You can't have your cake and eat it too.
    Farside
    19th Aug 2019
    11:50pm
    timing differences ... there will be plenty of GenX and GenY eagerly anticipating the demographic bulge of the boomers exiting god's waiting room en masse.
    invisible sock
    20th Aug 2019
    9:10am
    Yes, millions of people are millionaires these days when the value of their house and super are taken into account.
    I've just been through the inheritance process, and it made a big difference not only to the next generation, but also to the one after that.
    don
    19th Aug 2019
    12:02pm
    I saw a discussion once where the younger generation were expecting their parents to pay or buy a house for them, I was amazed . I said to them in WA there are plenty mining jobs available , two weeks on one week off , it would be a good boost. Not interested in moving so I called them bottom feeders. When I was 30 I got a private super and where I worked I also contributed to a their pension scheme. At times I was really broke and battled , bought our first house when the rate was 19%, and nearly sank. I mostly had two jobs as wife stayed home looking after the kids. Some of the younger generation do not want to work hard for anything and have a different outlook on life to us. They want expensive houses cars ,parties instead of starting at the bottom and working up. I see a lot of the trade youngsters really doing well , and go getters.
    inextratime
    19th Aug 2019
    12:37pm
    Lies, damned lies, and statistics !

    I was made to retire by my employer at 67 even though I could have continued to work. I have often suggested that many 'boomers' could work from home in peripheral employment (data entry for example) to support their pensions at a lesser hourly rate than the mandated minimum wage This would achieve two things. 1. Reduce an employer's wage bill. 2. Provide additional income to pensioners. The income then goes back into the economy via purchases. Why it won't happen. The unions, many of whom are the new generation insisting on a minimum wage.
    inextratime
    19th Aug 2019
    12:37pm
    Lies, damned lies, and statistics !

    I was made to retire by my employer at 67 even though I could have continued to work. I have often suggested that many 'boomers' could work from home in peripheral employment (data entry for example) to support their pensions at a lesser hourly rate than the mandated minimum wage This would achieve two things. 1. Reduce an employer's wage bill. 2. Provide additional income to pensioners. The income then goes back into the economy via purchases. Why it won't happen. The unions, many of whom are the new generation insisting on a minimum wage.
    Sapiens99
    19th Aug 2019
    12:39pm
    I wonder why the Gratton Institute haven't included in their statistics the amount of handouts that the millennials receive that Baby Boomers never had. They have advantages such as first home buyers grants, stamp duty exemption, maternity and paternity paid leave, Gov't assisted child care. On top of this they have the lowest interest rates in history, access to all the information they need at their fingertips and many more privileges that their parents and Grandparents ever had. We never had the same kind of disposable money that they have to splash out of discretionary spending such as fake tans, spray paint to graffiti almost every public building, tattoos that cover entire arms and legs and subscriptions to almost anything such as Netflix, phone plans, spotify, cloud storage and overseas travel twice a year, to name but a few. From where I stand, they have a life that I would loved in my twenties. But do they appreciate it? All I hear is complaints and whinging.
    They need to have more get up and go and stop complaining about how hard everything is for them. If they stated saving when they go their first job at 16, (yes you can still work part time when you are at Uni) then they would have enough money (if they settled down with a partner) by their mid twenties to buy a moderate house in the outer suburbs. I've done the sums and it's possible.
    Sapiens99
    19th Aug 2019
    12:39pm
    I wonder why the Gratton Institute haven't included in their statistics the amount of handouts that the millennials receive that Baby Boomers never had. They have advantages such as first home buyers grants, stamp duty exemption, maternity and paternity paid leave, Gov't assisted child care. On top of this they have the lowest interest rates in history, access to all the information they need at their fingertips and many more privileges that their parents and Grandparents ever had. We never had the same kind of disposable money that they have to splash out of discretionary spending such as fake tans, spray paint to graffiti almost every public building, tattoos that cover entire arms and legs and subscriptions to almost anything such as Netflix, phone plans, spotify, cloud storage and overseas travel twice a year, to name but a few. From where I stand, they have a life that I would loved in my twenties. But do they appreciate it? All I hear is complaints and whinging.
    They need to have more get up and go and stop complaining about how hard everything is for them. If they stated saving when they go their first job at 16, (yes you can still work part time when you are at Uni) then they would have enough money (if they settled down with a partner) by their mid twenties to buy a moderate house in the outer suburbs. I've done the sums and it's possible.
    Heskwith
    19th Aug 2019
    12:44pm
    It does astound me how much people earn now, compared to the modest incomes we spent on modest requirements. Vast salaries now, are paying for luxury imports we did without while supporting our children who now earn so much more, straight out of education.
    We lived according to our means if we could, rather than borrowing. We did not expect a Home Of Our Own until much later if at all.
    The needy ones are not the taxpayers, but those who don't earn enough to pay tax; Newstarters, Pensioners, and those needing a helping hand just to live. If they get awarded a proper viable living by Govt, it goes straight into the economy, not hoarded or wasted.
    MICK
    19th Aug 2019
    12:57pm
    This is about what one expects from Grattan although there are some home truths in this report.
    1. Older Australians pay less tax BECAUSE THEY EARN LITTLE OR NOTHING ANY MORE. That's what happens when you retire for the most part.
    2. Younger Australians are not doing so well because the current government has turned the current lot into part time workers with no stability and low low incomes.

    Buckle down folks. I see Death Duties showing up again in the next decade when our deadbeat government has wasted all taxpayer money, gotten us into even more debt and needs to come after anybody other than the top end of town for 'more money'. Can't you just feel them chomping at the bit?
    Farside
    19th Aug 2019
    11:56pm
    Mick, no need to wait for death duties or estate taxes when increases in property and consumption taxes are on the menu. Funding to pay for those sought after income tax cuts and franking credit cash refunds has to come from somewhere.
    floss
    19th Aug 2019
    1:03pm
    They could all go and pick fruit , just give our Deputy P.M. a ring but I doubt he would have the brains to operate the phone.
    maelcolium
    19th Aug 2019
    1:20pm
    The Grattan Institute is a self styled right wing organisation that seeks to perpetuate the neoliberal myths for the purpose of diverting national income distribution to capital and away from society in general. They can call themselves an institute, but that doesn't make their preposterous reports valid. The fact is that taxation does not pay for anything. In a fiat economy with a floating exchange rate, the sole purpose of taxation is to give validity to the fiat through the imposition of taxation demands by the State. Anyone who talks about the need for taxation to pay for things, or balancing the budget or taxpayers supporting non taxpayers is just telling outright lies.

    It's the availability of resources that determines the wealth of an economy. It is the policies of Governments that determine the distribution among society of the share of national income derived from those resources. This crowd is on the side of capital and had vested interests in producing reports that attempt to gain an unequal share of the national income. Like the Business Council of Australia, they trot out these spurious claims that the country is running out of money or that social needs are a drag on businesses that they say distributes income. Businesses don't distribute national incomes and they are only one component of the economy. All the Royal Commissions on their behaviour over the past few years, have made it plain to see that they need tight regulation otherwise the productivity of the nation ends up in the clutches of these parasites.

    Ignore the report. It is bull shit.
    TREBOR
    19th Aug 2019
    3:27pm
    We'd be happy to ignore it - except that certain others will use it as a springboard for their next offensive.... the price of liberty is eternal vigilance, especially when you are dealing with your own government.

    Years ago I had a savage fight with government over missing military records - now the younger generation from Iraq and Afghanistan are coming up against the same lethargy and lack of focus from those vested with caring for that community..... there are websites galore now over these issues...

    My point is - never trust your government..... NEVER!
    Farside
    20th Aug 2019
    12:07am
    Wherever did you get the idea the Grattan Institute is a right wing organisation? It was established by a Victorian ALP government. Perhaps it is nearer centre than the Australia Institute but it's in a completely different category to the conservative think tanks like the IPA, CIS or Sydney Institute.
    KSS
    19th Aug 2019
    1:33pm
    "Reducing or eliminating tax breaks for “comfortably off” older Australians would be a start."

    So who will define 'comfortably off'? And is that the same people who have yet to define 'wealthy'?
    Farside
    20th Aug 2019
    12:13am
    ASIC accepts the ASFA definition of "A comfortable retirement lifestyle enables an older, healthy retiree to be involved in a broad range of leisure and recreational activities and to have a good standard of living through the purchase of such things as; household goods, private health insurance, a reasonable car, good clothes, a range of electronic equipment, and domestic and occasionally international holiday travel."
    Chooky
    19th Aug 2019
    1:35pm
    Tax towards Aged Pensions were paid to a specific government coffer post Second World War. Taxpayers paid tax for this very purpose but then along cane a liberal government who
    couldn’t resist scooping it up and over to
    general revenue and there it has stayed. So yes, we have paid for our pensions.
    Curious
    19th Aug 2019
    1:47pm
    This Grattan Institute's article has opened up an old wound, a generational war. Let have a look at what Grattan Institute is all about. Here is what Google tells us who they are, ''Grattan Institute contributes to public policy in Australia, a liberal democracy in a globalised economy. We foster informed public debate on the key issues for Australia, through both private forums and public events, engaging key decision makers and the broader community. Our work is rigorous, practical and above all, independent. We accept no ongoing government funding and undertake no commissioned work.'

    If the information about the Grattan Institute is true, it is a great concern of their unawareness of the changing economic-fortune of Australia through globalization. A formula where the rich get richer and the poor get poorer. According to the OECD in 2012, 5% of the world population controls 72.6% of the world wealth and 95% of the population held 28.4% world wealth. This begs the question, is globalization good for Australia and her people?

    When Grattan Institute compared the gap of difference between the baby boomers and the Millenials, did they taken into consideration of the closed economy then as against the globalized one now? The Grattan Institute should be aware of the different economic factors at play in the two different economic systems. The closed economy is based on comparative advantage (Keynesian economics) versus the laissez-faire economics of globalization. Under the globalized economy, the rich are not only getting richer but more powerful than our government. Free-trade agreements attempt to institute the supremacy of enterprises with the ability to sue any government interference of their transactions with private parties, including lower wages. That is the real reason the Trump's supporters want him to reinstitute the closed economy for regulation, privileges, imperialism, tariffs, and subsidies. This shows it doesn't matter how big your economy is, once you lose your comparative advantage, the rich entrepreneurs can source the cheapest capital and labor where they can find them and leave you for dead.

    As you can see, there is nothing that the baby boomers have done or demand more of the Millenials. It is the economic framework has moved the goal post against the Millenials, and not the baby boomers. Who is responsible for this? Our Federal Government of different political parties since the 'recession we need to have' to the 'job and growth" eras. What so frustrating is the economists and our Treasury standing by so hopelessly.

    Furthermore, what is OECD doing about all this?
    Thoughtful
    19th Aug 2019
    3:08pm
    So well explained Curious. I also hate the fact that "baby boomers" millenials" etc are all cast as an homogeneous group.
    Farside
    20th Aug 2019
    12:18am
    good comment but I dare say that think tanks of all socio-political persuasions are very familiar with globalisation and the threats and opportunities it presents to their constituencies.
    Curious
    20th Aug 2019
    10:14am
    Yes, Farside. Why blame the baby boomers when they should know better!
    Farside
    20th Aug 2019
    10:47am
    I wonder the percentage of boomers (and the war generation) that voted for governments pushing pro-globalisation policies ... what's the old adage about being careful what one wishes for in case it comes true? Choices have consequences.
    Rae
    20th Aug 2019
    3:09pm
    Faside they all push globalisation, privatisation and neoliberal policies. The people did often change the Party and the next party just did some more neoliberal ideological thing. It's why it is such an issue.
    Curious
    20th Aug 2019
    5:14pm
    Farside, there is no evidence that high percentage boomers voted for globalization. However, there is evidence of the senior citizens voted against the political party with a policy of taking away some of their nest eggs since they have it so good.... see the result of the last election.
    The Care Bear.
    19th Aug 2019
    2:01pm
    This is no surprise as the number of "Workers" supporting Welfare is reducing and will continue to reduce as more and more claim the Pension.
    TREBOR
    19th Aug 2019
    3:34pm
    This is no surprise as the number of "Workers" supporting Social security is reducing and will continue to reduce as more and more claim the Pension.

    So - how are 'we' to blame for the number of people not working and increasingly working fewer hours for less overall pay etc? If government had a proper grip on superannuation and had run it and industrial relations etc correctly - many more would be retiring with more....

    But that's too much to ask of politicians, who, in the main, have no idea at all...
    TREBOR
    19th Aug 2019
    3:34pm
    As an FBI guy said about the Mafia - couldn't run a corner shop....
    Farside
    20th Aug 2019
    12:39am
    TREBOR, the ratio is workers to pensioners; yes you can improve the ratio by increasing workers and their taxes however easier said than done to restore it to what it once was (pick the decade of your choice). The other approach is to focus on the denominator and ponder the options available to government to either transmogrify them into self-funded retirees else reduce the cost and/or number of pensioners. The mind boggles.
    Farside
    19th Aug 2019
    2:49pm
    it's easy to summarily dismiss statistics and use anecdote to paint the post-boomers as self-absorbed spendthrifts however the reality is workforce participation has steadily increased while the ratio of workers to pensioners has decreased.

    The conversation is a lot more nuanced than reflected in these comments with many of the epithets attributed to workers in their in 40s and 50s being just as misplaced as those attributed to millennials.

    People talk about the younger generations as being perpetually offended and outraged but they do not hold a candle to the seniors sharing their opinions.
    Farside
    19th Aug 2019
    2:49pm
    it's easy to summarily dismiss statistics and use anecdote to paint the post-boomers as self-absorbed spendthrifts however the reality is workforce participation has steadily increased while the ratio of workers to pensioners has decreased.

    The conversation is a lot more nuanced than reflected in these comments with many of the epithets attributed to workers in their in 40s and 50s being just as misplaced as those attributed to millennials.

    People talk about the younger generations as being perpetually offended and outraged but they do not hold a candle to the seniors sharing their opinions.
    TREBOR
    19th Aug 2019
    3:31pm
    Age of entitlement,innit - you gotta EARN entitlement first...
    Gra
    19th Aug 2019
    2:54pm
    More anti pensioner - baby boomer garbage from the Grattan Institute.
    Circum
    19th Aug 2019
    3:13pm
    The article was good for a laugh reading how some try hard was twisting the stats and logic to try and justify a conclusion.I hope people can see thru the garbage that is implied.
    Circum
    19th Aug 2019
    3:13pm
    The article was good for a laugh reading how some try hard was twisting the stats and logic to try and justify a conclusion.I hope people can see thru the garbage that is implied.
    Lookfar
    20th Aug 2019
    10:16am
    Circum, could you please list the incorrect stats? - and how the logic leads to the conclusion?
    Otherwise what you have said is hearsay.
    Pisces
    19th Aug 2019
    5:44pm
    As a baby boomer I'm sick of being blamed for circumstances NOT of our making. How about the government puts back the billions they have misappropriated from our COMPULSORY pension fund. Do you think we've all had a cushy life? Do you think mine is cushy now? If you do get real and get on with your lives STOP blaming us.
    mancub1967
    19th Aug 2019
    5:55pm
    Some may be better off, but generally there are a lot of older Australians where Super was never going to be enough, and to make things worse the present Government has made changes where a lot of older Australians now live below the poverty line, I cannot remember a time where life has been easier, the burden of constant recessions and interest rate hikes made life very hard for a lot of families, only the last ten years or so have things become more manageable, for recently retired people its a case of how much super and whether they should sell the family home, or sell the Motorhome or Boat. The real point is that the Government planning for this is flawed, they have been taking Tax money for the Pension for years, its not a sudden things that has happened, we have been fortunate to have had a booming economy which has been squandered by the Governments of the day. I get tired when I hear that the Boomers are now a burden on the young, blame anybody blame the bad polocies of the Governments where this was in plain sight.
    mancub1967
    19th Aug 2019
    5:55pm
    Some may be better off, but generally there are a lot of older Australians where Super was never going to be enough, and to make things worse the present Government has made changes where a lot of older Australians now live below the poverty line, I cannot remember a time where life has been easier, the burden of constant recessions and interest rate hikes made life very hard for a lot of families, only the last ten years or so have things become more manageable, for recently retired people its a case of how much super and whether they should sell the family home, or sell the Motorhome or Boat. The real point is that the Government planning for this is flawed, they have been taking Tax money for the Pension for years, its not a sudden things that has happened, we have been fortunate to have had a booming economy which has been squandered by the Governments of the day. I get tired when I hear that the Boomers are now a burden on the young, blame anybody blame the bad polocies of the Governments where this was in plain sight.
    Pisces
    19th Aug 2019
    6:18pm
    Yes exactly
    Farside
    19th Aug 2019
    6:24pm
    Question posed on The Drum - "when certain baby boomers chide young people that they can't expect living standards to keep rising and need to downgrade expectations ... do they consider that this should also apply to expectations of retirement?"

    No prizes for guessing what most commentators on this forum might think.
    purplejan88
    19th Aug 2019
    6:47pm
    what a load of codswallop - our kids earn far more than we do , live in better houses than we do , drive better cars than we do, go out and have fun more than we do, go on holidays every year sometimes more than once a year and yes they're up to their eyeballs in debt but that is their choice as they don't want to save until they can afford to buy something like we were bought up to do.
    Lookfar
    19th Aug 2019
    7:32pm
    purplejan, something not quite right in your declamation..
    jackie
    19th Aug 2019
    6:48pm
    Our politicians have only themselves to have created this mess. Instead of governing they have sold out to corporations. They run the country.
    Lookfar
    19th Aug 2019
    7:36pm
    Right on Jackie, - but surely us just ordinary people can do something?
    jackie
    19th Aug 2019
    9:57pm
    Lookfar, how do ordinary people fight corporations? Stop buying their shares, products and services. They have too much power and are running the globe.
    just retired
    19th Aug 2019
    6:56pm
    I find it all very amusing when I read how tough it is getting for the younger population .I was a younger generation once. I had No one to help with baby sitting so worked night shift on weekends nor did I had maternity leave.I was back at work after 8 weeks ..I was lucky enough to have parents who took out an endowment insurance which went towards the 10 % deposit for a house and my housing loan interest was 17 % over 25 years .So here I am 50 years later retired and now told we are a burden to the younger generations.Give us retirees a break we have paid our dues .
    Lookfar
    19th Aug 2019
    7:25pm
    Fine, but did you vote for the future generation or Scomo?

    All else is insignificant in what you did in your life if you have voted to destroy the life of your descendants.
    Any suffering you experienced is meaningless if you have condemned your children and their children to enormous suffering, - in which regard your suffering was miniscule. Good to stand back from time to time and look more closely at what you have actually achieved in your life, - whether you are rich or poor
    jackie
    19th Aug 2019
    10:01pm
    Lookfar, voting for the likes of ScoMo creates poverty for future generations.

    Many older Australians voted for him. I have never voted Liberal and never will. Their policies are terrible.
    Rae
    20th Aug 2019
    3:16pm
    Yet it was Rudd who opened the housing market to wealthy foreign speculators. Set up the Fair Work Commission etc. Both Parties are neo-liberal globalists. We didn't stand a chance. We kept changing the Party and the next one just went and did some other evil. Brought in tertiary fees, cut single mum's incomes, levied taxes on superannuation, increased retirement ages on and on. Both of them.
    Golden Oldie
    19th Aug 2019
    7:28pm
    The first thing that comes to mind is the lack of decent jobs for the younger generation, and also those over 45 who have lost their jobs and need to use up any savings gained by their work during their psst work, before they became redundant. Government policy for the last 30 years has been privatise as much as possible, so that has decreased employment within the government has decreased by many thousands jobs available, manufacturing going overseas, so that we now have no jobs in manufacturing, and instead a very much inferior product is being imported into Australia that nobody with any sense would buy, so also jobs lost in the retail trade. Unions are being decimated, wage increases are flatlining, Education is exremely expensive, with no guarantee of a job at the end of a 3 or 4 year degree course. These instances all make it hard for the younger generations, hardly the fault of the baby boomers and older people, except perhaps the older ones earning huge wages as our 'intelligent' politicians, and business owners with their policies do so much damage to our economy with their cuts to expenses such as wages, to try for higher and higher profits which do not benefit the workers who are expected to do so much more with the same or less wages. The older generation had it hard with high interest rates in buying a house, but most managed it on one wage, with very little assistance with child endowment, no sole parenting payments, etc.
    gumtree
    19th Aug 2019
    9:26pm
    So we kill off the old to make way for the young. At what age should we do that?
    gumtree
    19th Aug 2019
    9:26pm
    So we kill off the old to make way for the young. At what age should we do that?
    Thoughtful
    19th Aug 2019
    11:05pm
    " So we open up a quarrel
    Between the present and the past
    We only sacrifice the future
    It"s the bitterness that lasts"

    Mike and The Mechanics

    " The Living Years "

    You can listen as well as you hear.
    jaycee1
    20th Aug 2019
    9:50am
    This article is sooo biased it's not funny.
    Considering ALL workers have been paying 7+% since the 1940's, which they still do today, on top of the compulsory superannuation when it started. The 'older generation have paid for their pensions and NO ONE is subsidising them at all. They are just getting back SOME of the money they have contributed towards their OWN pensions.
    Lookfar
    20th Aug 2019
    11:02am
    Absolutely correct jaycee, it is a scandal, at the very least, and probably criminal.
    Once one knows however, that the richest people in the world, who own the media except the ABC, believe all pensions should be scrapped, and also own our Government to a large degree, - and even the labour party, although to a lesser degree, you can see it is just a self serving lie to benefit the greediest and most immoral people on our planet.
    There is however, a real resentment of the older generation, the majority of whom vote Liberal, that the oldies are destroying their future, - which they are by voting Liberal, - particularly, as it is the party most resistant to doing anything about our degrading climate.
    Many young people I talk to say, "I just wish they would all die", and "the oldies are destroying our future" - and they are correct, everybody is directly responsible for who they vote for, just as Australia is responsible not only for it's emissions, but also the emissions the fosssil fuels it provides to the rest of the world, cause.
    So you have 2 groups attacking the old, - the super rich, who will lie at any occasion, who are totally supported by editorial policy of the owners of the media, and the next generation, for as I explained above.
    You can totally be free of the guilt the newspapers, etc. try to lay on you, that is just the Super greedy who want everything at any opportunity, but if you know any young folk, or have children or young relatives, it might be educational to talk to them and find out their opinions, as there is a growing number of young folk who believe, - and it is a correct belief, that old people who vote Liberal are some sort of immoral predator committed to destroying the future of the human race, - oh they realise that some old folk, are unable to change, so in a way criminally insane, but all believe that the older generation should not be allowed to vote on matters which they will die before the consequences occur.
    I agree, it is a flaw in democracy that allows this to happen, partially attributable to the two party system, partially attributable to those seniors who can't be bothered keeping up to date with what is happening all around the planet.
    Maybe voting should require a license, as eg driving, when people can not pass a test on knowledge of the things they will be voting on, - ie all the views of (at least) the major contenders in the election they are about to vote on, not the propaganda of any of those contendors, but a real understanding of the issues, - free of mindless cliches.
    No penalty, just their vote not accepted for that election, ie can become more informed and apply again next election.
    At least then, the young could feel that they weren't being oppressed by the old, and many older probably would not care, so win win.
    Circum
    20th Aug 2019
    4:49pm
    dear Lookfar.May I suggest that a visit to your shrink may be beneficial.Your brainwaves are all over the place.
    Circum
    20th Aug 2019
    4:49pm
    dear Lookfar.May I suggest that a visit to your shrink may be beneficial.Your brainwaves are all over the place.
    Cheezil61
    20th Aug 2019
    10:18am
    Calling bs on whole article: sorry but I'm not buying any of it! Pretty sure it is previous govts that have robbed us of an earlier pension age etc by spending it (the taxes originally designed for pensions) elsewhere & then having little left in the kitty for us older baby boomers?? Who can afford to give their kids an inheritance (what wit cost of living). I know my parents wont be leaving an inheritance & thus also stuff all chance of me leavinv one for my 2 kids (they seem to bd managing better than me anyways as is probably the case with a lot of us here!!)
    Priscilla
    20th Aug 2019
    10:39am
    Younger generations are suffering because of government policy or lack thereof. Nowadays the government has allowed thousands of overseas workers to take jobs and work at lesser rates. Wages are not increased so they do not keep up with CPI. Credit card use is a major factor for the younger generation with huge debts incurred. The older generation went without to get what they wanted by saving and not spending money they did not have. The younger generation have my sympathy as there are no jobs for them now, unemployment is high and the economy is not good.
    Lookfar
    20th Aug 2019
    12:53pm
    I tend to agree with you Priscilla, there seem to be a whole raft of stupid or short sighted decisions by the Govt. that have lead to probably foreseeable suffering.
    One example is the dedication it has followed to destroy the Unions, - Unions had as much corruption in them as the Govt has at this time, but two wrongs do not make a right.
    The wealthy have got rid of most unions so they can make more money, but now there is no organisation to protect Australian workers from wealthy greedy people using cheap labour from overseas.
    On the other hand the Govt has undermined the Gonski report so that it's original aim, to have each child receive the same government funding as each other child, - which would have effectively made education providers competitive, - which most people do not realise that that is precisely what it should be, because there is nothing more important to most parent's than their children.
    So various sabotages and interventions and diversions, - from expensive Private education and State Public education equally, have resulted in a generation of children not really able to compete in the modern labour market place, which requires wide background understanding, deep understanding of history, ability to think creatively, ability to focus on areas of special interest, and non-judgemental physical/hands on experience. - no doubt I have left out lots.
    Whatever, it is crazy that we have the opportunity to choose between 20 different brands of toothpaste, - most very similiar, but only one or two choices of education for our children, - who are so incredibly different from each other.
    End result, our children are not competitive with immigrants selected from all over the world, ours have not the flexibility of thought required for the modern economy, which is rapidly changing, day by day.
    Obviously the Govt. departments responsible (and the Teachers Union, to a degree) have not that flexibility of thought either, so Gonski was to increase Flexibility of thought but was torpedoed by folk with inflexibility of thought, - which was therefore passed on to most of our children, so making them unemployable.
    What to do? implement the full Gonski? - hell no, get immigrants in to do the work, look at the money we saved.. and will keep on saving..
    Until they get old too...
    Red
    20th Aug 2019
    10:56am
    I understand the price of housing has made it very difficult for young people to buy their own home. Having acknowledged that, this generation wants it all but is not prepared to save. The young adults in my family go to the gym every day, travel overseas once a year, have the latest expensive phone, and eat out at expensive restaurants regularly. During my young adult years, while I saved for a house, I ate out for special occasions like birthdays but otherwise ate at home. I didn't go to coffee shops every day, or have expensive gym memberships and during my child rearing years I didn't travel overseas at all. My mobile phone was always a hand me down, when I had one. I worked hard, sacrificed my salary into superannuation, when I was lucky enough to work somewhere that gave women access to superannuation and lived a modest lifestyle this generation might find boring. I was one of the underemployed for many years as a young mother working part-time for little return. But I saved nonetheless. I have just retired after working since I was 16 and am not eligible for the pension, because I put my spare money, when I had it into superannuation. I own my own small home and have no debts. Young adults today don't demonstrate or take political action when they are not happy with policy decisions, like we did. They didn't protest when the university fees were reintroduced. They didn't vote for the Labour party when they promised to stop franking credits and negative gearing and they would rather live the high life than save. They seem to me to be the ultimate consumer. I certainly feel for them with housing prices being so high. They'll get my inheritance when I die and that will substantially assist them in paying off their mortgage but perhaps not their negatively geared investment properties.
    ozrog
    21st Aug 2019
    5:07am
    The new Grattan Institute needs to get their reports right.
    Last week they were saying more people arw retiring as self funded then going on the pension. This would mean less money to pay pensions than ever before. This means less burden on the young not more.
    Dot
    21st Aug 2019
    8:03pm
    THERE IS A SIMPLE SOLUTION HOW TO DEAL WITH BABY BOOMERS. LINE US ALL UP AGAINST THE WALL AND SHOOT US, THAN TAKE ALL OUR POSSESSION TO HAND OVER TO THE USELESS GARBAGE THAT HAVE CONTRIBUTED NOTHING TO THIS COUNTRY EXCEPT TAKE AND TAKE.