The California dream isn’t dead. It just upped and moved to South Dakota. Less than half of people born in California in 1980 are making more money than their parents did as young adults. That’s the lowest percentage of children out-earning their parents that California has seen since at least 1940. By contrast, 62 percent of people born in South Dakota in 1980 out-earn their parents. That’s the highest percentage for any state in the country.
The biggest single age cohort today in the U.S. is 26-year-olds, who number 4.8 million, according to Torsten Slok, chief international economist for Deutsche Bank . People 25, 27 and 24 follow close behind, in that order. Many are on the verge of life-defining moments such as choosing a career, buying a house and having children.
Companies looking to grab a piece of that business, however, have run into a problem. This generation, with its over-scheduled childhoods, tech-dependent lifestyles and delayed adulthood, is radically different from previous ones. They’re so different, in fact, that companies are developing new products, overhauling marketing and launching educational programs—all with the goal of luring the archetypal 26-year-old.
Nearly all Americans have now emerged from the Great Recession with more money than before -- with African American and Hispanic families and Americans without high school diplomas showing the greatest gains, according to new data released Wednesday from the Federal Reserve. It's a sign that the recovery from the devastating Great Recession and financial crisis of 2008 is picking up as more people are able to get jobs, pay off debt and invest more. Household wealth for African-American and Hispanic families and Americans without high school diplomas rose the fastest from 2013 to 2016, according to the Fed's Survey of Consumer Finances, which surveys over 6,000 households about their pay, debt and other finances.
U.S. families’ wealth and incomes rose across the board as the economic recovery continued in recent years, a shift after they stagnated for all but the most well-off in the aftermath of the recession, the Federal Reserve reported Wednesday.
Minority households and families with less education had larger proportional gains in income than others between 2013 and 2016, suggesting the fruits of the recovery spread to a wider swath of society, the Fed said.
Weakness in the labor market doesn’t adequately explain why fewer men are working or seeking jobs, according to a new paper published by economist Scott Winship and the Mercatus Center at George Mason University. One big contributor is the rising number of men in their prime working years–aged 25 to 54–who are getting federal disability benefits, or report being disabled, and who are not actively searching for jobs, Mr. Winship concludes. This suggests there is less slack in the labor market—such as people who could be drawn in off the sidelines—than many policy makers believe.