Spacebunny points out the long-term consequences for the trophies-for-everyone generation:
The rarely discussed long term effect of “a trophy for everyone” is how this has destroyed more than one generation’s mental toughness and drive to succeed. If, at a very young age and then for years, you are told your successes are meaningless and not worthy of being noted or acknowledged, what does that do to your ability to compete successfully in any area in the future?
No wonder so many of them are weak, afraid of failure, and desperate for affirmation. The purposeful detachment of effort from accomplishment has proven to be insidious and psychologically devastating.