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Axios: Millennials Are Much Poorer Than Their Parents

Millennial
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Thirty-year-old millennials’ fortunes, sex lives, and income are all pitiful compared to what their fathers enjoyed at age 30, according to Axios.

Millennial men pay 2.5 times as much for college, have triple the debt, have half the chance of being married, fewer kids, and are much less likely to own a home, according to the data presented by Axios.

Axios reported that compared to 30 years ago:

Men are more likely to earn less. In 1975, only a quarter of 25 to 34-year-old men made less than $30K per year, but that number rose to 41% in 2016.

Going deeper: As a measure of upward mobility, 92% of 30-year-olds in 1970 earned more than their parents at that age, according to a 2016 study led by Raj Chetty, a Stanford economist (h/t Roger Lowenstein). But of those who were 30 in 2014, just half earned more.

[Economist Raj] Chetty attributed most of this erosion to slower GDP growth and a change in the distribution of GDP favoring higher earners: GDP would have to rise by 6% a year to get the same impact, he said, and wealth would have to be distributed much more evenly.

Millennial women are individually better off than their mothers — but the women’s husbands are the millennial men.

Missing from Axios, however, is any mention of the causes, such as the federal government’s immigration policy of importing one new worker for every four Americans who graduate school or college each year.

This massive 25 percent inflation of the labor supply is widely ignored by economists who struggle to understand why young men earn so much less than their parents. The new-labor inflation is made worse by the government’s policy of importing temporary workers for good jobs in the expanding professional sectors. Roughly 1.5 million foreign guest-workers now hold jobs in healthcare, technology, academia and other sectors, even as young American college graduates struggle to pay off debts.

President Donald Trump’s “Hire American”  campaign would modestly curb the inflow of immigrants and foreign workers, but it is strongly opposed by progressives, Democrats and business-first Republicans.

Four million Americans turn 18 each year and begin looking for good jobs in the free market — but the government provides green cards to roughly 1 million legal immigrants and temporary work-permits to roughly 3 million foreign workers.

The Washington-imposed economic policy of economic growth via mass-immigration shifts wealth from young people towards older people by flooding the market with foreign labor. That process spikes profits and Wall Street values by cutting salaries for manual and skilled labor offered by blue-collar and white-collar employees. The policy also drives up real estate priceswidens wealth-gaps, reduces high-tech investment, increases state and local tax burdens, hurts kids’ schools and college education, pushes Americans away from high-tech careers, and sidelines at least 5 million marginalized Americans and their families, including many who are now struggling with opioid addictions.

 

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