Everyone of this generation will forever be haunted by the word “recession.” The phrase has become a ubiquitous and defining expression of our generation. The recession has damaged many people’s respect for their government and exposed extreme corruption, souring people’s views on the global financial institution. The colossal impact of the recession means that is has become an insidious and consistent presence in our media and for graduating students, the news is especially worrisome.

New graduates face an uncertain future with employers expected to hire 22% fewer graduates from the class of 2009 than they hired from the class of 2008, and a further 7% less from the class of 2010 according to the National Association of Colleges and Employers. As students with large debts know getting hired after graduation is imperative. According to Finaid.org, two-thirds of bachelor’s degree recipients last year graduated with an average debt of about $23,000. The debt for those with graduate or professional degrees starts from $30,000.

Whilst students didn’t cause the crash they are still suffering as a result. However, Professor Robert Bruner of the University of Virginia’s Darden School, writes in the Wall Street Journal that there are valuable lessons to be learned from the Financial Crisis:

1. Be aware of the importance of ethics

According to Bruner the system in place “rose to tolerate borderline or obviously unethical behavior” and these crises are “illustrations of the fruits of unethical behavior.” He suggests that students understand the importance of ethics as ethical principles establish a level of trust and responsibility. Ethics are a fundamental basis of business and when they are ignored the long term ramifications outweigh the short term gains. In this recession unethical practices have been uncovered and students are now in the position to demand more honesty as they enter the working world. Bruner attributes the previous acceptance of unethical behavior to a global panic and a lack of strong leadership.

2. Understand your leadership

Bruner claims a good leader has many attributes but the most important is awareness: “Good leaders are present and engaged.” After the recession students should be more aware of who is leading them and to where. By voicing their opinion and using their agency students can play an active role in the leadership of their society. They can also use the failures of the past as examples not to follow. Bruner recalls the anecdote of Jimmy Cayne reportedly playing bridge when Bear Sterns crumpled and states that the best leaders do the opposite, they would have seen it coming.

3. Approach teaching practices with more critical reflection

“Business schools in some part were quick to endorse the practices that occurred on Wall Street…” Bruner says, “We certainly taught all the tools and concepts that were used in the buildup of the bubble.” Bruner went on to say “I think in the next generation we should approach the teaching of practices with more critical care.” For students, particularly students of finance and business, a more critical analysis of teaching methods and a somewhat discretionary approach to the lessons encourages individual thought. Bruner acknowledges that business schools tend to be “followers and disseminators of practices employed by the very best firms.” Bruner believes that if the same faulty practices are being taught then nothing will improve. Students need to scrutinize the methods they are being taught and determine if they are tenable in the business world.

4. Approach risks with more caution

Risk assessment is perhaps the most important lesson that both students and working adults can learn from this recession. Bruner states “We’ve all gained a much greater appreciation for risk controls, particularly in financial institutions. We have a number of clear illustrations of the failure.” Students can learn from the mistakes made in the recession and build upon them, taking more caution when approaching risky situations. In an article on risk management The New York Times claims that the risks taken by the United States and the Western World were “so excessive and foolhardy that they threatened to bring down the entire financial systems itself.” As they enter the workforce, graduating students will now know not to take reckless risks. From this recession they can aspire to be honest workers and leaders and adopt, as Bruner writes, “an ability to see around corners, a capacity to look ahead, think strategically and imagine the consequences.”

The new generation of students entering the working world will hopefully learn from the mistakes of their predecessors. There is light at the end of the recession tunnel and cautionary advice from those like Professor Bruner can benefit students who seek a better, more ethical and rewarding future.