Why ... why do you think there's nothing for people to do? There are new kinds of jobs invented by young folks every week. From influencer to vlogger to artisan fart crafter to who knows what.
Sure, it's not as simple as it used to be, that just go to school and work in the factory/office. But that's not the end of the world.
Service industries are booming. Remote work is the way to go. No need to buy a house for 1M USD somewhere near SF/LA and commute every day.
And it works. There are people living in vans wherever they wish and living off money made by content creation.
The problem of looming doom is not because of the economy. It's entirely because there's a culture war going on. Mental health is the first casualty.
The entire generation is waiting for the old guard to die out, so they can enact reforms. (Except as we know reality is a lot more complicated, there are plenty of young folks rooting for both sides, and actively participating in politics.)