America's Younger Workers Losing Ground On Income
A new survey shows that median incomes fell for householders under 45, even as they rose for older ones, between 2001 and 2004.
Randall Parker suspects this may be because the U.S. is becoming less white, and the predominate immigrant groups are downwardly-mobile.
He points out that "from 1970 to 1997 men under 35 experienced a 19% decline in income."
• The entry of women into the workforce in those decades has helped push median family incomes up over time. But even when men and women are included together, younger workers (age 25-34) are earning well below what they did in 1970. And at all ages, evidence suggests that families are putting in more hours of work to make their household incomes rise.
• Even with extra time at work, median family income has barely budged since 1995 for householders below 45, up about 5 percent after inflation through 2004.
He writes, "Some libertarians argue that a rising tide lifts all boats. Well, wrong. A large proportion of the boats have leaks and are sitting rather lower in the water. Think of all the technological advances that have boosted productivity since 1970 and then consider these results. Something is going terribly wrong."
Parker also refers to the problems facing the children of America's majority population, most notably raging student loan and consumer debt.
Is the problem really that we are all feckless debtors? I think there is some truth to this, and it has be admitted. We have all been raised with a buy-now pay-later mentality. However, even without the problematic consumer debt saddling younger people, there is the larger issue of student loan debt, due to America's education racket.
In the future, as men continue to eschew higher education, I believe that the student loan problem will fade away on its own. Higher education will not be tenable without men. It certainly will prove to be a bad investment, as future earnings will cease to track with education.
The bigger problem facing Red State America will be weaning our children off of credit.