Even if the recession ends, America's youth can expect to be worse off than their parents

Every generation of Americans should live better than its predecessor. That's Americans' core definition of economic "progress."

Downward mobility is possible. Expanding health spending would raise taxes (to pay for government insurance), lower take-home pay (to pay for employer-provided insurance) or increase out-of-pocket medical costs. Other drains also loom: higher energy prices to combat global warming; higher taxes to pay for underfunded state and local government pensions and repair aging infrastructure; higher federal taxes to cover deficits and payments to retirees (much of which reflect health spending). The pressures will undermine private living standards and other public services (schools, police, defense).

The young's future has been heavily mortgaged.

SHOOT: Interesting article. The idea that America can increase GDP by 70% and even under these fanciful circumstances they project downward mobility for the next generation shows you the extent of the problem. There is no way GDP will grow 70%. I foresee, without a radical shift in our fortunes, the world economy contracting for a decade or more, perhaps an entire generation.

clipped from www.newsweek.com But for today's young, it may be a mirage. Higher health spending, increasing energy prices and stretched governments at all levels may squeeze future disposable incomes—what people have to spend—and public services. Are we condemning our children to downward mobility? Look at the table below. It portrays the U.S. economy from 1980, with a projection for 2030 from Moody's Economy.com. Year      Total GDP    Per Capita GDP       Per Capita Health Spending 1980 $5.8 trillion $25,700 $2,300 1990 $8 trillion $32,100 $3,900 2007 $13.3 trillion $43,900 $7,100 2030 $22.6 trillion $60,600 (see below) The projection assumes that the recession ends and growth revives. Superficially, the table suggests that economic growth can easily pay for more health care. In 2007 the economy's total output—gross domestic product, our national income—was $13.3 trillion. In 2030 it projects to $22.6 trillion, up 70 percent.