Note that this article has been updated to also include some of the private discussions with thought leaders in the past. You can read my final overview of my research into the Millennial generation along with what I predicted and what happened as they matured at this link. While I still speak about Echo Boomers and iGenZ privately, I seldom add new articles to this specific blogspot site. If you're reaching out about a speaking engagement, you can contact me at the research firm SqlinSix.
A recent article suggests that Echo Boomers should oppose Janet Yellen if they want to retire. As a quick reminder, many thought leaders said the same about Obama and his healthcare legislation.
What many of these thought leaders miss is that Echo Boomers trust public authorities, such as government figures, more than private figures. I frequently highlight Enron as an example of why many Echo Boomers distrust private companies. Don't forget that Enron wasn't the only entity in that mess when Echo Boomers hear stories about it.
From the article:
However, by all accounts, the Federal Reserve under her leadership would continue cycles of quantitative easing.
The author goes on to say that QE will make retirement more difficult.
This seems true, yet how many Echo Boomers understand negative interest rates or inflation? Even if they do, how many of them would actually take action?
Even from several financial studies I've conducted, only about 10-15% of Echo Boomers actually know what these economic events and patterns are and would take action on them. The remaining focus more on whether they like the person. Janet Yellen and Ben Bernanke are both likeable people.
While I may sound harsh on Echo Boomers here, both Baby Boomers and Generation Xers were the same in the past. As a child at the time, I recall these generations voting against Ross Perot, who was far less likeable than Bush and Clinton. What did many of those Baby Boomers and Generation Xers say a decade (or more later)? "Ross Perot was right and would have made a better president!" But neither of these generations liked him that much at the time. They also held it against him when he dropped out after his daughter was targetted. I've observed that both generations complain about how "nasty" politics has become, yet this pattern influenced their decision. What would Charlie Munger say about incentives?
Research means recognizing uncomfortable truths. One uncomfortable truth is that people prefer likeability even at the cost of their own future success.
