While this story has been reported many times in the alternative press, the mainstream press is finally noticing. This recovery-less “recovery” is not working out like other recoveries have worked in the past. Rather than get an education and then start a new career and household, kids are living with their parents. In many cases I think they are getting that education and then moving back home with a great debt load due to student loans.
The L.A. Times headline blares, “Big jump in number of millennials living with parents reported.”
More Americans than ever live in multigenerational households, and the number of millennials who live with their parents is rising sharply, according to a study released Thursday.
A record 57 million Americans, or 18.1% of the population, lived in multigenerational arrangements in 2012, according to the Pew Research Center. That’s more than double the 28 million people who lived in such households in 1980, the center said.
A multigenerational family is defined as one with two or more generations of adults living together.
The sluggish job market and other factors have propelled the rise in millennials living in their childhood bedrooms.
About 23.6% of people age 25 to 34 live with their parents, grandparents or both, according to Pew. That’s up from 18.7% in 2007, just prior to the global financial crisis, and from 11% in 1980.
For the first time, a larger share of young people live in multigenerational arrangements than of Americans 85 and older.
This is economically toxic. Living at home means not getting married and not having children in most cases. From this there will be economic consequences for an entire generation.
The story also tells us that the number of millennials staying at home skyrocketed during the recession and then has continued to increase more slowly during the “recovery.” So it seems that the economy has been structurally changed by the housing collapse. The days of expansion and growth are over, unless something changes.