This was up on MSNBC. Sorry if it has already been posted.
Life is harder now, experts say - Gut_Check - MSNBC.com
So what do you guys think?
Life is harder now, experts say - Gut_Check - MSNBC.com
So what do you guys think?
I skimmed the article. My take is that it is a rehashing/recycling of Elizabeth Warren's book "The Two-income trap" which noted that middle class families are worse off today than they were a generation ago (in the 1970's). I disagree with her basic premise.
If middle class families today were to live like a stereotypical family of the 70's, I estimate they would be better off today, not worse off. Ms. Warren illustrates how much more houses cost and how much more childcare and a second car costs (because you have to have two cars, since the wife now works, too). She doesn't acknowledge the greater benefits of nicer housing, more living space, increased mobility w/ a second car, social and professional satisfaction of the (now) working woman, benefits of socialization w/ preschool, etc.
If there aren't real benefits to living the 21st century lifestyle, then each family not enjoying the benefits should elect to go back and live a 1970's lifestyle.
If there aren't real benefits to living the 21st century lifestyle, then each family not enjoying the benefits should elect to go back and live a 1970's lifestyle.
Don't they call these "hedonic adjustments" when they calculate the CPI? And does that mean that they are already priced into the equation?
The article isn't very convincing, but I looked briefly at the numbers and they look like they might be correct.
If there aren't real benefits to living the 21st century lifestyle, then each family not enjoying the benefits should elect to go back and live a 1970's lifestyle.
And by and large, we do. House was built around 1950, DW stays home with the kids, we have a CRT-based TV, and pay $3 a gallon for heating oil.
The difference is we have a bunch of computers, video games, high speed internet, cable, all kinds of telecom for under $25/month (cell phone plus landline w/ free international calling and free domestic long distance), dining out 5 times/week on average, and the list goes on. Plus we never have to go to the disco or wear polyester bell bottoms.
But I missed out on all the pot and other stuff.
How much easier could life get?
In-law's take care of the kids for much less than $1000/mo/kid daycare (otherwise DW would stay at home w/ kids)
I was under the impression we were using "harder" to describe the difficulty in getting ahead financially.
But I missed out on all the pot and other stuff.
There's always FIRE, right?
And I think that's why people are getting frustrated
We also got to that 1970s standard of living by destroying the infrastructure of most of Europe, western Russia, and Japan during WWII and then ramping up the military-industrial complex to support the Korean & Vietnam wars. Jobs were plentiful because we'd essentially wiped out a generation of workers (and perhaps the necessities of daily life) and then had to build it all back up. No wonder we had it "so good" back then...