Vast Stretches Of America Have Now Descended Into A State Of Deep Economic Hopelessness
July 4, 2022
Epic Economist
Have you ever been at such a low point in your life that it seems like no matter how hard you try you’re never going to be able to turn things around? If that’s the case, then you’re not alone. Right now, there are millions upon millions of Americans out there in a state of deep economic hopelessness.
For a long time now, we’ve been facing one problem after the other, and since the start of the year, many of us are seeing our financial conditions worsening at a frightening pace. The cost of the things we need and consume on a regular basis is reaching levels that are simply out of the reach of many families.
Vast stretches of America have been seemingly taken over by an atmosphere of despair that only grows wider and wider. While the government gives us doctored numbers that show that the national unemployment rate is low - in an attempt to dismiss the severity of our problems, - the majority of American workers are actually living paycheck to paycheck or in extremely low-paid jobs. Most part of the population is struggling to get by - no matter how they bend and twist the statistics.
In fact, independent agencies, such as the anti-poverty advocacy group, Oxfam America, reported some numbers which reveals the reality hidden by the official figures.
In June, 52 million U.S. workers – or about one-third of the country’s labor force - earned less than $15 an hour. “Soaring inflation, which has pushed up the prices of food, housing, gasoline, and other necessities, has made it even more difficult for lower-income families to survive on their wages,” Oxfam America highlighted.
At this point, 150 million American adults – which represent roughly 58% of the country’s population – live paycheck to paycheck, LendingClub revealed in a recent survey.
At the same time, the rising interest rates that were meant to curb inflation growth are actually denting consumers’ purchasing power, and making it more difficult for Americans to buy big-ticket items, like appliances, cars, and most importantly, homes. Fannie Mae estimates indicate that since January, around 18 million would-be homebuyers have been priced out of the market. This has been a major setback for the finances of young adults. At this point, more of them have moved back home with their parents than ever before.
All of this also means that the current generation of adults isn’t able to start building wealth as early as previous generations did. As opposed to our parents and grandparents, today, the amount of money most of us make isn’t enough to invest in properties, or even to create a savings account, because, at the end of the day, we are all just struggling to survive.
So it’s comprehensible why the U.S. middle-class is getting even smaller with each passing year. A separate Pew Research Center survey found that in June more than one-third of U.S. households reporte
