A Wall Street Journal-NORC poll reveals a significant generational divide in economic perceptions and values in the United States. Many older Americans, while financially comfortable with soaring home and 401(k) values, express pessimism about the economy due to their adult children's struggles. This sentiment is widespread, with nearly 70% of respondents in a July Wall Street Journal-NORC poll stating that the American dream no longer holds true or never did, the highest level in nearly 15 years of surveys. Furthermore, nearly 80% lack confidence that life for their children will be better than their own.
Younger generations face considerable challenges in the current economy. The unemployment rate for recent college graduates was 6.5% over the 12 months ending in August, significantly higher than the overall rate of 4.3%. This gap between younger and older workers' unemployment rates is widening. Some economists attribute the difficulty in securing entry-level roles to AI replacing such positions, while others point to companies slowing hiring due to regulatory uncertainties. Recent graduates often report submitting hundreds of applications with minimal response, leading many to be supported by their parents or living with them, sometimes working part-time jobs like dog walking.
Housing affordability is another major concern for young adults. Home prices have increased by 50% since the start of the pandemic, making homeownership seem unattainable for many. In the WSJ-NORC poll, only 11% felt confident that today's children's generation could afford to buy a home, compared to 23% who were confident they themselves could. This contrasts sharply with prior generations, where majorities believed they had an easier time buying a home, starting a business, or being a full-time parent. The poll also found that fewer than one-quarter of respondents were very confident they could buy a home if they wanted to, with 56% expressing little or no confidence.
Beyond economic concerns, a Wall Street Journal survey of 1,862 adults indicates deep generational divides in societal values. Younger Americans prioritize social progress and environmental protection, while older cohorts emphasize tradition, national security, and fiscal responsibility. Faith, having children, and other priorities that once defined the national character are receding in importance to Americans, according to a Wall Street Journal-NORC poll. This divergence in both economic experience and core values creates a complex "split-screen economy" where financially secure parents often subsidize their children's living expenses, including rent, travel for job interviews, or even job coaches, and some families are turning to multi-generational living arrangements.
