I look at some of my friends kids today and I think of when I was their age. I can't help but think to myself, "wow, when I was there age, I knew a lot more" When you really think about it though, they're not dumber, they just know different things. I will say this though, I think the use of a lot of technology is ruining their imagination. When I was growing up, we had to use our imagination all the time. Kids today have imagination served to them, so they really don't need to use their own. They're not dumb, they just use different "muscles" than we did.
When I was coming up, the only real tech out there for kids was Atari. We played it alot, but being outside was more fun sometimes. I do know this . . . when my friends get together with their kids and we all get into a game of Monopoly, the kids seem alot happier than when I see them mindlessly droning away in front of Facebook.