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OpinionMillennials Didn’t Kill the Economy. The Economy Killed Millennials.

18:00  06 december  2018
18:00  06 december  2018 Source:   theatlantic.com

The Great Recession's Ripple Effects: Millennials Are Poorer Than Generations Before Them

The Great Recession's Ripple Effects: Millennials Are Poorer Than Generations Before Them This is why they're not spending: Millennials are poor.

" Millennials Are Killing " refers to a series of tweets mocking trend pieces written about how Millennials are apparently killing industries that are The trend spiked in popularity on June 30th, 2016, when The Economist published a tweet asking "Why aren' t millennials buying diamonds?"[7]

There are complex reasons millennials ' preferences differ from prior generations ', including psychological scars from growing up during the recession. 'Psychologically scarred' millennials are killing countless industries from napkins to Applebee's — here are the businesses they like the least.

Millennials Didn’t Kill the Economy. The Economy Killed Millennials.© Robert Galbraith / Reuters

Editor’s note: The opinions in this article are the author’s, as published by our content partner, and do not necessarily represent the views of MSN or Microsoft.

When a staid American institution is declared dead, the news media like to haul the same usual suspect before the court of public opinion: the Millennial generation.

The 80 million–plus people born in the United States between the early 1980s and the late 1990s stand accused of assassinating various hallmarks of modern life. The list of the deceased includes golf, department stores, the McDonalds McWrap, and canned tuna. Millennials tore up napkins, threw out mayonnaise, and mercifully disposed of divorce and Applebee’s before graduating to somewhat postmodern crimes: “Have Millennials Killed Serendipity?” With the national murder rate in long-term decline, it may even be said that Millennials are killing killing.

Fed says millennials are just like their parents, only poorer

Fed says millennials are just like their parents, only poorer In the court of public opinion, millennials are the most infamous serial killers. require(["medianetNativeAdOnArticle"], function (medianetNativeAdOnArticle) { medianetNativeAdOnArticle.getMedianetNativeAds(true); }); American cheese. Credit cards. Taxis. The Thanksgiving turkey. Even divorce. This generation’s cultural killing spree has left few corners untouched. Now there’s evidence for an appeal.

Millennials killed a lot of things last year. Almost daily, it seemed, a headline would appear with news of an industry or institution falling victim to What’s really happening: “ Millennials are going to kill the traditional gym, no doubt about it,” Dorsey says, but fitness and wellness are more important than ever.

Why millennials are facing the scariest financial future of any generation since the Great Depression. By now, those unlucky millennials who graduated at the wrong time have cascaded downward through the economy .

But according to a new report by economists at the Federal Reserve, this genre of news analysis is pure fiction.

When researchers compared the spending habits of Millennials with those of young people from past years, such as the Baby Boomers and Gen Xers, they concluded that “Millennials do not appear to have preferences for consumption that differ significantly from those of earlier generations.” They also found that “Millennials are less well off than members of earlier generations when they were young, with lower earnings, fewer assets, and less wealth.”

Millennials aren’t doing in the economy. It’s the economy that’s doing in Millennials.

My history with the accused goes back several years.

In 2012, I published a column in The Atlantic with Jordan Weissmann, now a writer at Slate, called “The Cheapest Generation.” That headline—which got us in trouble because it was the only thing most people read—was a bit of a misdirection. The deeper question of the piece was whether the Great Recession might permanently reduce young people’s taste for houses and cars—two of the most vital engines of the economy.

You'll Never Guess Millennials' Top Financial Worry

You'll Never Guess Millennials' Top Financial Worry Hint: It's not healthcare costs or running out of money.

Millennials , also known as Generation Y , are commonly defined as people born from about 1980-2000. Because while older generations might view us as phone-obsessed, trophy-demanding “snowflakes” who stuff our faces with avocado toast while complaining about the economy and are

Millennials are many things, but above all, they are murderers. Indeed, if an alien landed on Earth and read a few headlines, they would likely believe millennials are nothing but ruthless life-ruiners , determined to crush every outdated workplace concept or fast food product standing in their way.

For years, various outlets, including The Washington Post and the Pew Research Center, continued reporting that young people were buying fewer cars and houses than those in previous generations at a similar point in their life. In 2016, about 34 percent of Americans under 35 owned a house; when Boomers and Gen Xers were under 35, about half of them did.

But the fact that young people are buying fewer houses and cars doesn’t prove that they want fewer houses and cars. It might mean they simply can’t afford them. That latter conclusion is now supported by research from the Federal Reserve.

Fed economists found that the depressed rate of homeownership among Millennials was entirely about income and affordability. Young Boomers and young Gen Xers made significantly more money at a similar point in their life cycle, they said, and controlling for income and employment wiped out all generational differences.

To save Social Security, we need to make it 'hip' with millennials

To save Social Security, we need to make it 'hip' with millennials The reality is that Social Security can be secured for future generations only by legislation passed by Congress to increase funding or change benefits. However, Social Security is not a hot-button issue for many millennials. The reason: Benefits of Social Security seem foreign and too distant to young workers. Yet the future of Social Security hinges on energizing those millennials to be concerned about this dilemma. And the way to do this is by making the issues around fixing Social Security relatable to them.

Millennials ’ mayo aversion apparently has some Americans concerned over changing demographics.

Are millennials causing society's downfall? If you asked a baby boomer, the Any non-millennial will agree that millennials are murderers. They are killing industries with their Due to the differences in economy and society from the 20th to the 21st century, baby boomers and millennials have a hard

Just as important, homes in the United States are less affordable than they used to be. According to the Joint Center for Housing Studies of Harvard University, the typical sale price of an existing single-family home in 2017 was 4.2 times greater than the median household income; that’s 30 percent higher than in 1988. It’s even worse in some cities. Since the late 1980s, price-to-income ratios have more than doubled in metro areas such as Miami, Denver, and Seattle. In San Francisco, the median house price doubled in just five years to more than $1.6 million. That’s a lot of foregone avocado toast.

On the car front: News reports sometimes find that the average age of new-car buyers is quickly rising, which makes it sound like young people are ditching their ride. But as the Fed economist Christopher Kurz has shown in several studies, that factoid is somewhat misleading. Young people actually buy the same number of cars per capita today that they did in 2005, at the height of the housing bubble. The average age of car buying is going up almost entirely because Americans older than 55 are buying more new vehicles than they were 20 years ago. In 1995, Americans over 55 bought about one-third of all new cars. Today they’re buying almost two-thirds.

Tariff-driven price increases spreading through economy

Tariff-driven price increases spreading through economy Tariff effects broaden across U.S., wage growth higher: Fed

CALGARY – In addition to the cereal, newspaper, and homeownership industries, reports show millennials are now destroying the once-popular pastime of legal for-profit millennial homicide. While millennial killing remains a popular leisure activity among Baby Boomers and Generation X-ers alike

They assumed the economy would just grow three percent a year forever and that wages would go up every year and that there would always be a good job for everyone who More than voting, though, millennials have to run for office because people have to be excited about the person they’re voting for.

It’s also true that Millennials spend less than previous generations on transportation. But everybody is spending less; total transportation spending has declined as a share of the typical household’s budget by almost 5 percent in the past 30 years, according to the Fed. Perhaps that’s because people hold on to their car for longer, or own a more efficient car that requires fewer tune-ups. Or maybe that’s a result of the declining cost of new vehicles under the North American Free Trade Agreement, which shifted some auto-manufacturing work to Mexico.

The economists ultimately found “no evidence that Millennials have preferences for vehicle purchases that are lower than those of earlier generations.” Case closed.

It’s typical for Millennials to bear blame for dramatic cultural and economic changes when their only crime is behaving like everybody else. For example, last year The Wall Street Journal published a report that cited young people for killing grocery stores. The proof? Consumers ages 25 to 34 are spending less at traditional grocers than their parents’ generation did in 1990. Seems pretty damning. But upon closer examination, the stagnation of grocery stores is a complex story that implicates just about everybody. Americans of all ages are relying more on convenience stores, such as CVS, and superstores, such as Walmart, for food to eat at home, and those institutions aren’t typically counted as grocers in government data. Also, Americans of all ages are eating out at restaurants more. The group shifting its spending toward restaurants the fastest? It’s not 20-somethings. It’s people over 65.

We did the math to calculate how much money you need to save monthly to buy a home by 35

We did the math to calculate how much money you need to save monthly to buy a home by 35 Saving up to buy a house can be daunting, but it's not impossible. We calculated the monthly savings needed to buy a house at any price point by 35.

Millennials are too busy killing napkins and fabric softener to buy lottery tickets, so the According to the report, by 2020, millennials are expected to control – trillion of the global economy and almost half of them regularly play games on a computer or smartphone at least once a week.

5 Things Millennials Are Killing . As times, tastes and technologies change, so does business. While I don’ t think Millennials have collectively decided After all, Millennials No. 1 source of money stress is debt. But jokes aside, The Economist noted that “young consumers increasingly shun the taint of

In the biggest picture—from cars and houses to restaurants and grocers—Millennials aren’t serial killers. They’re serial scapegoats.

If there is one category in which the generation born between the early 1980s and the late 1990s really is different, it’s politics.

Young people are not only to the left of the country, but also to the left of previous generations of young people. In national elections, Millennials have voted for Democrats over Republicans by unprecedented margins. They are far more open to various strands of socialism—including social democracy and democratic socialism. As I wrote in summarizing their political views in 2016, Millennials “sense that they are both America’s impoverished generation and its moral guardians—absent on the payroll, but present at the revolution.”

Why would young people feel such revolutionary fervor? Maybe it’s not because Millennials have rejected the American dream, but rather because the economy has not only blocked their path to attaining it but punished them for trying to.

Millennials are the most educated generation in U.S. history to date. They bought into a social contract that said: Everything will work out, if first you go to college. But as the cost of college increased, millions of young people took on student loans to complete their degree. Graduates under 35 are almost 50 percent more likely than members of Gen X to have student loans, and their median balance is about 40 percent higher than that of the previous generation.

And what has all that debt gotten them? “Lower earnings, fewer assets, and less wealth,” according to the Federal Reserve paper’s conclusion. Student debt has made it harder for millions of young people to buy a home, since “holding debt is associated with a lower rate of homeownership, irrespective of degree type,” as Fed economists wrote in a previous study. In other words, young people took on debt to pursue a college degree, only to discover that the cost of college would push the American dream further from their grasp.

Is it any wonder that Millennials are eager to overthrow a system that has duped them into a story of permanent progress, thrown them into debt, depressed their wages, separated them from the trappings of adulthood, and then, for good measure, blamed them for ruining canned tuna?

When the 20th-century sociologist James Chowning Davies studied the political convulsions of France and 20th-century Russia, he observed that the conditions for revolution are ripest “when a prolonged period of economic and social development is followed by a short period of sharp reversal.” These revolutions occurred, he said, when a large group of people felt that reality had suddenly fallen short of their expectations for social or economic development.

Millennials were promised rising wages, homes, and cars; they got 140 characters. Okay, fine, 280 characters. That’s nothing to live on. But it’s just enough to efficiently articulate one’s despondency alongside 80 million frustrated peers, all of whom are exasperated with a system that keeps finding new ways to brand its young economic victims as cultural criminals.

Apartments are getting smaller, but renters are paying more.
The average size of newly built apartments in the U.S. is shrinking, but rents are still rising. Millennials appear to be more willing to pay for smaller units that are located in urban centers where rents are highest.

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