Is the American Dream DEAD for Gen Z?
The American Dream is a popular slogan that has circulated around American culture and media over the last several decades. One of the earliest uses of this phrase came from the 1931 book The Epic of America authored by historian James Truslow Adams. In this book, Adams described the United States America as a land of economic opportunity and social mobility for people who were willing to work for it.
Of course, I would argue that America is much more than an idea or an economic opportunity zone. Regardless, most Americans born in the 20th and 21st centuries were taught in school and from media growing up that they would have better, more economically prosperous lives than their parents.
One has to look no further than the Baby Boomer generation (born circa ~1946 to 1964) to find out what the peak of the American Dream looked like. Their parents (mostly Silent Generation and the WW2 generation) suffered through deep economic hardship while living through the Great Depression and World War 2 period. In contrast, Baby Boomers lived through one of the most economically prosperous times in world history.
Baby Boomers in the United States lived in a time where homes where cheap, college was affordable, and salaries rose above the rate of inflation. This perfect economic storm allowed the Boomers to become and still remain the wealthiest generation in American history.
Yes, Baby Boomers hold roughly HALF of America’s wealth at over $80 Trillion USD according to data from the Federal Reserve—despite Boomers only comprising about 20% of the population.
The Boomers lived through the zenith of the American dream economically while each preceding generation has seen the American Dream fade away. Year after year, the key economic and social milestones of the American Dream have become less and less attainable for many younger Americans. For instance, housing prices and student loans have burdened younger Americans with levels of debt that previous generations could not have fathomed. At the same time, marriage rates have plummeted for younger Americans.
Earlier this month, a viral chart about the American dream made the rounds on social media. Based on recent data from the US Census, less than 15% of American thirty-year-olds are married and owned a home. Just thirty years ago, nearly 40% of thirty-year-olds were married and owned a home.
Is the American Dream dead for Americans born in Generation Z (~circa 1997 -2010)? Well, at very least it’s likely on life support. Unless dramatic changes occur economically, politically, and culturally within the USA, most members of Generation Z will not see the same level of wealth and economic prosperity that their parents and grandparents enjoyed.
Now, this article is not about blaming the Baby Boomers problems for all of the problems that Millennials and Generation Z face. However, older Americans in our nation’s political and media class must understand that current economic realities have eroded the American Dream for younger Americans.
As a closing thought, just remember that the poorest generations in America (Generation Z & Millennials) pay the bulk of the FICA taxes that fund the Social Security checks for the wealthiest generation in American history. Just something to think about.
