Everything I’ve seen has said that Millenials and younger are spending more on experiences and less on things, but also that their purchasing power is much weaker than their parents’ was at the same age. Millenials, I think, have about half the purchasing power as the Baby Boomers did in their 30s and 40s.
Also of note that I just saw the other day is that the price of cars has jumped up about 30% since 2021.
So, not exactly what you’re looking for, but some of the stuff I’ve seen/heard that probably plays contributing factors to this.
I think being priced out of the housing market influences a lot how likely you are to spend your money on experiences. It seems like that’s all young people can afford, the mortgages these days are daunting even for people much older in good positions.
Good info. Yeah, I’m just curious to see a clear comparison laid out. I think being able to literally visualize it would be more conducive to the ongoing conversation. Tough to trust what one cohort on the internet says about their personal experience. Seems like everyone online is broke yet increasing interest rates tell another story about the market overall.
Yeah, unfortunately, I don’t think one really exists. I’m sure there are people who have done the research, but you’re probably not likely to find the info laid out like that in a major news article or something. There’s also a major generational divide in terms of wealth and a disparity between the rich and poor in the US that’s been described as being comparable to the conditions just before the French Revolution, when a loaf of bread cost the same as the average worker made in a day, so looking at market forces like interest rates and such can paint a very different picture from what the average person is experiencing because of how weighted the averages are by the wealthy.
About a month ago, I watched an unrelated video that happened to have some very well researched info in it on the economic situation of Millenials called The Perpetual Infantilisation of Millennial Women. Great video that I pulled some of the info from for a similar conversation. It’s definitely worth the watch for that info alone. Some of the stuff I remember are things like 43% of Millennials own homes, well below the average of 65% per generation. And of those who don’t own a home, 52% aren’t saving for a house, often citing reasons like poor wages or joblessness, showing that many aren’t buying homes not because they’re buying them later than previous generations, but because for many the idea of owning a home straight up isn’t considered feasible. Another big one is that only 20% of houses are affordable for the average American worker, compared to (I think) 63% in 2016. This kind of stuff has led to Millennials not buying material goods like nice furniture because they’re just going to have to leave it behind when they inevitably move to their next rental.
It’s a really multi-layered issue that definitely goes beyond the “the kids are choosing not to buy cars” or “Millenials could afford a house if they’d stop buying avocado toast or Starbucks!” takes that you often see in the news.
Everything I’ve seen has said that Millenials and younger are spending more on experiences and less on things, but also that their purchasing power is much weaker than their parents’ was at the same age. Millenials, I think, have about half the purchasing power as the Baby Boomers did in their 30s and 40s.
Also of note that I just saw the other day is that the price of cars has jumped up about 30% since 2021.
So, not exactly what you’re looking for, but some of the stuff I’ve seen/heard that probably plays contributing factors to this.
I think being priced out of the housing market influences a lot how likely you are to spend your money on experiences. It seems like that’s all young people can afford, the mortgages these days are daunting even for people much older in good positions.
Why buy things when they have to drag them from one flat to another every six months cos of a rent increase or the landlord kicks them out
Good info. Yeah, I’m just curious to see a clear comparison laid out. I think being able to literally visualize it would be more conducive to the ongoing conversation. Tough to trust what one cohort on the internet says about their personal experience. Seems like everyone online is broke yet increasing interest rates tell another story about the market overall.
Yeah, unfortunately, I don’t think one really exists. I’m sure there are people who have done the research, but you’re probably not likely to find the info laid out like that in a major news article or something. There’s also a major generational divide in terms of wealth and a disparity between the rich and poor in the US that’s been described as being comparable to the conditions just before the French Revolution, when a loaf of bread cost the same as the average worker made in a day, so looking at market forces like interest rates and such can paint a very different picture from what the average person is experiencing because of how weighted the averages are by the wealthy.
About a month ago, I watched an unrelated video that happened to have some very well researched info in it on the economic situation of Millenials called The Perpetual Infantilisation of Millennial Women. Great video that I pulled some of the info from for a similar conversation. It’s definitely worth the watch for that info alone. Some of the stuff I remember are things like 43% of Millennials own homes, well below the average of 65% per generation. And of those who don’t own a home, 52% aren’t saving for a house, often citing reasons like poor wages or joblessness, showing that many aren’t buying homes not because they’re buying them later than previous generations, but because for many the idea of owning a home straight up isn’t considered feasible. Another big one is that only 20% of houses are affordable for the average American worker, compared to (I think) 63% in 2016. This kind of stuff has led to Millennials not buying material goods like nice furniture because they’re just going to have to leave it behind when they inevitably move to their next rental.
It’s a really multi-layered issue that definitely goes beyond the “the kids are choosing not to buy cars” or “Millenials could afford a house if they’d stop buying avocado toast or Starbucks!” takes that you often see in the news.