April 19, 2019

For Millennials, the Recession Never Ended

“For Americans under the age of 40, the 21st century has resembled one long recession.

I realize that may sound like an exaggeration, given that the economy has now been growing for almost a decade. But the truth is that younger Americans have not benefited much.

Look at incomes, for starters. People between the ages of 25 and 34 were earning slightly less in 2017 than people in that same age group had been in 2000.

Why is this happening? The main reason is a lack of economic dynamism. Not as many new companies have been forming since 2000 — for reasons that experts don’t totally understand — and existing companies have been expanding at a slower rate. (The pace of job cuts has also fallen, which is why the unemployment rate has stayed low.) Rather than starting new projects, companies are sitting on big piles of cash or distributing it to their shareholders.

This loss of dynamism hurts millennials and the younger Generation Z, even as baby boomers are often doing O.K. Because the layoff rate has declined since 2000, most older workers have been able to hold on to their jobs. For those who are retired, their income — through a combination of Social Security and 401(k)’s — still outpaces inflation on average.

But many younger workers are struggling to launch themselves into good-paying careers. They then lack the money to buy a first home or begin investing in the stock market. Yes, older workers face their own challenges, like age discrimination. Over all, though, the generational gap in both income and wealth is growing.”

Read more

JJ Editor's Daily Picks

"After five years of war with the Islamic State, the biggest problem for the winners is coping with the losers. The aftermath has produced one of the world’s most perplexing postwar challenges..."

"What do we mean when we say that the “soul of the city” is under threat? Often, it’s really about politics, nostalgia, and the fear of community change."

"...the pendulum of history never stops moving. Indeed, one of the few constants of history is unceasing change. While we seem to be heading in one direction, we must remember that there will surely be pauses, turns, and reversals."

""Homecoming: A Film by Beyoncé," premiered early Wednesday and it was the fulfillment of all the ancestors' hopes and dreams. Beyoncé also dropped "Homecoming: The Live Album.""

"Seven in 10 adults ages 18 to 34 received financial support from their parents in the last year, including more than half of those in their early 30s. Almost three in five millennials said they couldn’t afford their lifestyles without the support."

"Social media influencers have helped turn public lands into tourist-infested swamps. And one cantankerous man is fighting back."

"One particular myth that attached itself to Ledger was that his death was somehow a result of immersing himself in the character of the Joker."

"In 2018, for the second year in a row, American publishers released fewer translated titles: 609 books were published, down from 650 in 2017 and the industry high in 2016 of 666."

"Egg freezing had become so routine among my single peers that when I hit 35, I never thought twice. Here’s what I wish I had known."

"When it comes to Passover cuisine, most home cooks know to avoid wheat, oats, rye, and other forbidden ingredients. But what consumers might not realize is just how much cotton they eat during the holiday."

"A masked figure looms over your recumbent body, wielding power tools and sharp metal instruments, doing things to your mouth you cannot see."

"Passover is a holiday that commemorates the Jewish people escaping slavery in Egypt. It is often referred to as the “festival of freedom.” My Passover in prison was at a place called the Wallkill Correctional Facility..."