Modern times have developed our U.S. society into inspiring others to leave the family home and seek their fortune in life. This generally has included the development of a new home and savings to carry the younger generation through hard times. But with the recent economic shifts this trend has been forced to stop. The U.S. Census reported recently how many new students and younger generations are not moving. Thus is posed the question of who has the real wealth in families and how it is obtained. Surprise, your parents are still wealthier than many of your friends.
The lack of time spent investing and the lack of creditable marketable securities the public trust has resulted in less investors among the younger generations. This is only going to get worse as the average wage has decreased per hour. This means less disposable funds for them to invest; the long-term implications are fewer and less determined developments for the future. If we operate on the bases of the market controlling what is done and investors controlling what is invested into we have a problem. Without out funds the younger generations will not be able to invest, they will not be able to determine what operations to develop. The future then will be decided upon by others, the hourly earners will not be represented by this interest of others.
The housing foreclosures have made a lot of homes available for new ownership. But with few people having funds and markets not secure, not many are able to accept. Fewer still are willing to take the risk; lower interest rates have already begun to show as a result. This trending will continue as the housing market needs to regain a secure footing. But with actions such as robo-signing still going on, it will take a long time to get things cleared up.
It is important to the younger generations to be able to establish themselves as independent individuals as soon as possible. The entire history of humans has recorded societies as having a “right of passage to adulthood” of some kind. Our society advertises part of this as leaving the family home, starting life on your own. The sooner this is done the more secure and independent one grows into, but also gives more time to develop finances. The longer time allows more equity and interest to grow around the investments made. This keeps the individual’s wealth growing to meet personal requirements. The longer one spends time in the family home, the less time to develop mentally, socially, and financially. Getting out is important to building a future for them and all others.
The future generations will find it harder on them for the mistakes recently made, they will pay dearly. But still what words do we have about those who caused such? They gain protections and settlements from a political operated congress, who can not even take action to balance their own budget. So once again what confidence will this show in the markets…none. Once again we find the means to get out of this economic slump, waiting until those who can not even count learn to count.
Contact: Michael Pulse [email protected] Author of: The Truth of Things
Website: www.truth-things.biz CEO of Stone Rose LLC.