5 Reasons We're Falling Behind Our Parents

Rachael Brownell (Redsy) — Thu, 15 May 2008 17:01:00 GMT

Nan Mooney's book "Not Keeping Up with Our Parents" describes the decline of the professional middle class in America and points to a few key reasons our generation is faltering when it comes to money-matters.

Apparently, it has little to do with cutting out lattes:

1. Homeownership no longer means stability - We may own houses, big houses, but we own less of them as a % than prior generations.

2. The dual-income trap - Since wages have stagnated, it now usually requires two incomes to make ends meet. Add to that the high cost of childcare and the problem continues.

3. Shame of financial instability keeps people quiet and inactive - In a culture of "personal responsibility" people blame themselves and so don't hold government accountable in any way.

4. Student Debt - People carry student loans now for 20, 30, 40 years with no reprieve.

5. Consumer goods may be cheaper but they are the same % of our income as they were in the 70s.

Ms. Mooney's premise, that externalities might have more to do with the faltering middle-class than personal profligacy, is a kind of relief in a time when many of us are hunkered down, head in hands, wondering what the hell happened! For more on this topic, go here.

Strollerderby : nan mooney

5 Reasons We're Falling Behind Our Parents