The stock market, particularly the Dow, has been very volatile in recent weeks, losing a lot of the gains made earlier in the year due to the unstable economic climate in vogue right now. The stock market is not going to continue its hot streak for too long and overtrusting the system could harm Baby Boomers in the short term.
Many people have addictions, like alocohol, drugs, gambling... If you think of it stock markets are like gambling, you put in money and you're not sure whether you're going to get it back or not. The baby boomer's generation seem to have taken it to make it a hobby... I guess putting in a couple hundreds in the stock one time in you're life to see if you're any good at it isn't such a bad idea at first, but if you keep losing or you are unsuccessful, then I think its time to find a new hobby and one that doesn't ruing you're life by diminishing you of all the money you've ever made!
The stock market is not the most reliable investment. The stocks are based off what others believe is the value of the company. Though that is mainly the thought for all companies worth, on a whole, the stock market, unfortunately shifts very quickly with people's concerns. It could change course very quickly just by a rumor or emotions. Baby Boomers are putting too much trust in the stock market.
It is recommended that we begin planning for retirement as early as mid to late 20's. Unfortunately, many do not. Because of the current state of our economy; there is a tremendous pressure on baby boomers to invest. This pressure stems from the need they feel to make up for their lack of retirement planning. Many baby boomers are making high risk investments just to sustain their current lifestyle. As a result they are putting too much trust in the stock market.