How this financial habit of millennials could increase inequality
by: Stephen Moore
Recent polling shows a big majority of Americans think it will be more difficult for this generation of millennials to achieve the American dream of climbing the economic ladder.
That’s probably way too much pessimism, but what is troubling is the early indicators of how young people are faring in the economy and what they are doing with their money.
The first bad sign is that fewer young people between 18 and 24 are working. The labor force participation rate for this age group is now near a 50-year low, at 65 percent. If you’re 22 and not working, you are dependent, not independent. Just over half of 18- to 23-year-olds live with their parents. Will they ever leave home?continue reading »