For the first time in US history, the younger generation will not gain more wealth in their lifetime than their parents. As Scott Galloway points out, Millennials are the largest percentage of full time workers in the US, but economic growth has been slower than for their parents at the same age. Furthermore, Millennials hold 31.4% of all student loan…
For many of today’s kids, experience is often confined to playdates, organized sports, tutoring sessions, afterschool homework centers, and summer camps—all structured programs where the young rarely risk failure or rejection and are often rewarded no matter their engagement or achievement. As a consequence, the youngest generation are fragile, unpracticed at navigating life when it doesn’t quite work according to…
In February 2020, approximately 165 million people were employed out of an approximate civilian population of 250 million Americans. In the economic recession of March 2020, 20 million jobs were lost. Since then, in the interim 12 months, only 10 millions jobs were re-created, leaving 10 million people still seeking employment. Of that 10 million, roughly 4 million people have…
Many soon-to-be college graduates—in a time of economic upheaval and pandemic induced doubt—fatalistic and full of dread can relate to the most recent college student-produced meme. Currently, unemployment and underemployment of new college grads is increasing, and gateways to employment like internships and other extracurricular activities are drying up or are suspended at closed or severely-restricted campuses resulting in fewer…
Two income families have become synonymous with modern parenting. Yet, in the recent COVID-induced economic disruption, when women are more likely to be unemployed or underemployed than men, the family dynamic may also be shifting. ….by April [2020] the COVID-19 crisis had created a 3 percentage point gender gap in unemployment. A similar gap emerged in the share of men…
Since March 2020, nearly 37.4 million people, or 90% of all student loan borrowers, stopped making payments under the loan forbearance provisions of the CARES Act. Additionally, all student loan interest has been suspended for the past eight months. However, since the current $900 billion stimulus bill does not extend the forbearance of student loans, the 42 million US borrowers,…
For many higher education institutions, like the University of California (UC), the fiscal losses are growing as the health emergency extends, precipitating the need for a tuition increase. As reported in a December 12 Los Angeles Times article: Systemwide, UC took a $2.7-billion financial hit between March and October — about 6.5% of its $41.6-billion operating budget, mainly from lost…
In the current economic backdrop, where the median view of economists predict a near 5% year over year decline in GDP (total amount of goods and services produced in the American economy) for 2020 (officially a recession), where both initial and continuing unemployment claims stubbornly loom above their longer run average, and though the economy seems to have bottomed, a…
“Adulting” classes may likely be the byproduct of a generation raised by “Helicopter Parents”, parents who don’t encourage self-sufficiency as their kid matures. Many students’ sole responsibilities have been managing schoolwork and extracurriculars, punctuated with the occasional “clean your room”, yet rarely do students I advise have part-time jobs. And, until the shelter-in-place, when school campuses closed, many did not…
As the Class of 2020 commences, into what economic state do they commence? As reported by Courtney Weaver in the Financial Times on May 28, 2020: With US unemployment at its highest level since the second world war and the country still grappling with the economic fallout of coronavirus, university graduates are watching start dates be deferred, internships cancelled and…
