Confirmed: Boomer sell-off won't crash economy

“On the surface, the warnings are hardly illogical,” Mont writes. “There’s always a precarious balance between retirees selling assets and younger generations buying them to increase savings. Given the large number of boomers nearing retirement, it’s possible that demand from younger investors won’t keep pace as they cash out, causing prices to drop.

“The CBO, however, predicts that baby boomers won’t sell their assets quickly after they retire. They will be cautious because they might need them in the future due to expected increases in lifespan and medical costs. The financial turmoil of the past year will further engender a conservative approach to retirement spending. The recession will also force many of them to delay their retirement.”