This study contributes to the understanding of how young adults living in Cape Town's townships experience poverty and unemployment in neighborhoods where both are prevalent. Unemployment is acknowledged to be a fundamental problem for township dwellers and yet the psychological repercussions on individuals in these communities remain largely understudied. While young people are the majority of South Africa's population, their voices frequently go unheard even with regards to issues that unduly affect them. In the last decade, a growing body of literature emerged using qualitative methods to address this concern. Quantitative analysis has shown that young adults - specifically African youth - bear the brunt of unemployment but research has yet to look closely at how unemployment shapes their expectations, attitudes and decision making. This research examines the effects of unemployment felt on an individual, psychological level as well as the contextual consequences of living in a neighborhood severely demoralized by widespread unemployment.