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Gen Z have 86% less purchasing power compared to baby boomers in their twenties

consumeraffairs.com

11–20 of 314 posts

Re: Gen Z have 86% less purchasing power compared to baby boomers in their twenties

#11

Boomers in their twenties were mostly working. Gen Z in their twenties is finishing college, working towards a master's or even a PhD. EDIT: No value judgments here. This is just a fact, people entered the active workforce earlier.

Makes sense, a Boomer in their twenties could buy a house and support a family of 4 with a high school education.

Re: Gen Z have 86% less purchasing power compared to baby boomers in their twenties

#12
I really feel for the younger than Gen X (which I am) groups.

My older brothers who are boomers did have it easier (than me) and I had it easier than the younger groups.

Purchasing power and a general decline in society's support along multiple axes for what most would call a 'normal' life really does make me think that some form of strife or revolution is coming.

Re: Gen Z have 86% less purchasing power compared to baby boomers in their twenties

#14
It seems the annual income vs. CPI is the core chart here. Something happened in the decade of 2000-2010 to throw things out of whack. I'm not informed enough to know if that was the result of policy decisions or what, but I'd like to know how wage growth declined so dramatically during this time while prices seemed to maintain its projected linear growth.

Re: Gen Z have 86% less purchasing power compared to baby boomers in their twenties

#15
Home prices are misleading because real estate has become an inflation-proof place to store wealth, like stocks but with nuanced subsidies. Even homeowners who live in the house are partially buying with the expectation to sell it for more later. Call it a bubble that never fully pops. In some less countries with higher inflation and less developed markets, this is so extreme that nobody really buys a house, only buys a piece or inherits.

Better to look at rent, which isolates the utility part.

Re: Gen Z have 86% less purchasing power compared to baby boomers in their twenties

#16
At least they can buy cheap TVs, right? I wonder if we can finally accept that just because things like phones and TVs got better faster than purchasing power got worse, doesn't mean that it hasn't been getting worse for a while. I'd even go so far to say that technical progress in a couple areas has hidden some pretty stark declines. Or at least allowed some people to point at shiny things getting better when complaints surfaced.

Re: Gen Z have 86% less purchasing power compared to baby boomers in their twenties

#20

It seems the annual income vs. CPI is the core chart here. Something happened in the decade of 2000-2010 to throw things out of whack. I'm not informed enough to know if that was the result of policy decisions or what, but I'd like to know how wage growth declined so dramatically during this time while prices seemed to maintain its projected linear growth.

Quantitative easing
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