Default Documentary: the Student Loan Interview

The responses to the interview questions may not represent the views of The Echo Boom Bomb's author. These interviews are provided to inform readers of information from experts and provide these experts with a medium where they can answer questions without any content changes. All linked material to products in interviews such as books or videos are affiliated with the supported platforms, such as Amazon or others. To see the full list of interviews related to Echo Boomers, iGenZ or Automons, see the ending acknowledgements on this post.

I recently had an excellent exchange with Aurora Meneghello of Krotala Films behind Default: the Student Loan Documentary [Update: dead link removed]. A documentary covering student loans has been missing for a while, and I think this film will help shed some light on a very dark situation for many young people. If you've been wondering about this area, check out their site and join the movement - they are doing a great job by helping young people understand this important situation.

1. What caused you to produce a documentary on student loans? Do you think this issue is receiving enough attention?

We started working on this documentary 4 years ago when there was not much written in the press on the issue of student loans. I have student loans and at the time I was trying to learn more about my private student loans. It was starting to dawn on me that my school had provided very good information on federal loans, but not on private loans.

One day I saw an article about student debt on the front page of the San Francisco Chronicle and in it I read about StudentLoanJustice.org [Update: dead link removed]. When I read some of the stories posted on Alan Collinge’s site, I felt it was outrageous that I had never heard of this before (I am a bit of a news junkie). As I found more and more information, I talked to Serge (Serge Bakalian, co-writer and producer of Default: the Student Loan Documentary) who suggested making a film about the issue. A lot of our friends were graduating with student loan debt and they were completely unaware of their lack of rights. They also felt embarrassed and scared and wouldn’t talk about it, feeling ashamed about their debt. I remember calling a credit counseling service and asking whether they offered counseling to student loan borrowers. The person on the phone wondered why I was asking, since, she said, student loans are actually “good for you!”

So our intention from the start was to educate people on student loans: how they work, what happens when you cannot pay them back, etc. And to open a dialogue about debt, so that future students could find an alternative source of information, apart from their school’s financial aid office. We also wanted to break the taboo that one doesn’t talk about debt. This is a problem affecting millions of people directly and our entire economy indirectly. It’s not just a personal issue of financial literacy or responsibility, it is a systemic problem.

2. How can people get involved with your movement to inform others and seek solutions to this problem?

We have a very active Facebook page and Twitter feed where we post relevant content every day. And our website [Update: dead link removed] has a list of sites that can be helpful in learning about student loans and to get involved.

It’s important for people to act individually and in groups. You can get a better grip on your finances and share your story to help other students avoid debt. You can also pay attention as to what legislation is being considered in Congress, sign petitions, become more vocal in your community. Find a group of like-minded people, organize screenings, protests and talks. Different website and groups offer different approaches: choose what works best for you.

3. If a young person was considering college, how would you advise them?

First of all, I would ask them whether they need a degree to practice in their chosen career. I am a photographer and although I learned a lot in school, nobody ever asks me whether I have a degree. It’s all about the work I do. You will find this is the case in many professions. If that’s the case for your chosen career, avoid getting into debt: either find alternative ways to learn (see Anya Kamenetzs’s book DIYU) or choose a college that is less prestigious, is affordable and still gives you the education you need.

If you are looking into professions that require a degree, if you want to be a doctor, a lawyer, a teacher, then I would advise trying to get that degree incurring the least amount of debt possible. Again, watch out for quick but expensive degrees (especially at for profit colleges), or for very prestigious but very expensive schools. Check out how much you can expect to make in your first year, paying close attention to the average in your area and to the lowest possible salary in your field as well. Basically, stay away from overly optimistic estimates such as $160,000 out of law school. Also, find out what is required of you after you graduate. For example, if you want to be a Marriage and Family therapist in California, you have to put in 3,000 hours of supervised work, which are often unpaid. Are you ready for that commitment? Research and plan for the worst, while doing your best to succeed. Graduating with unmanageable debt might prevent you from taking the chances you need at the beginning of your career.

Being realistic doesn’t mean giving up your dreams. If you stare reality in the face, you will be better able to find ways to achieve your goals.

Let me also say that I think education is important in and of itself and it is very troubling to me that we think of universities only as monetary investment in a future career. So, no matter what you decide to do, read, learn, explore! Grow as a person by educating yourself. Nowadays we have more access to information than ever before. Don’t let the high price of college deter you. Why isn’t education free or low cost? I think this is another topic, but one where we all need to be actively engaged.

4. Final question: based on your interviews with college students and graduates, do you think the unquestioned zeitgeist of "attend college no matter the cost" is changing?

It’s always hard to generalize, but in the past four years, I have seen the topic of student loan debt explode in the press, thanks to the tireless work of activist and borrowers willing to speak up. The students who contacted us to screen our film and whom I have talked to are concerned and want to do something about the rising cost of tuition and the lack of consumer protections for their student loans. So I think at the college level things are definitely changing.

Unfortunately though, there is still enormous pressure on children and teenagers to go to college at any cost. Having a college degree is definitely an advantage, but might not be so if one graduates with insurmountable debt. So I would like to see more of this type of debate at the high school level. Finally, I personally feel no matter what job you have, you should be able to make a living wage. We need to think of ourselves as part of a community. Not everyone can be a lawyer or a CEO. Some will always need to serve a latte or to sell us a pair of jeans. Anya Kamenetz shows in our documentary how the advantage of having a college degree is such only because the income of those not having a college degree has actually deteriorated. We cannot make an expensive degree the only way to make a decent living. I think we need to look at the bigger economic picture and question why we pay some people so little for the work they do that they can barely survive.

But that is another story ...

4 Strange Ways To Save Money

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.

How 4 Echo Boomers Bucked Trends and Amassed A Huge Pile of Cash

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Note that the following four examples have names changed of actual Echo Boomers. These Echo Boomers belonged in the affluent group of Echo Boomers, so from a marketing and financial perspective, these Echo Boomers reflect the values of wealthy Echo Boomers.

Since many Echo Boomers face major financial hurdles and the economy isn't improving, I decided to post some stories of succesful Echo Boomers and how they've managed to save extra cash while still enjoying life in the way they want. Of course, any person of any generation can look at these stories and consider their value for their financial plan. If you know someone is struggling and may be helped by such stories, send it to them.

A Home Fit For ... Ten

Jessica lives in California, where a house can easily rent for over a thousand dollars a month. But Jessica only made five thousand a month after taxes and didn't want to watch 20% of her income evaporate into thin air. She also had other goals than living expensese: she was saving for a master's degree, an eventual wedding, and a home to call her own.

"At first, I was stuck," she told me. "I am from the Midwest where I could rent a place for $300, and that was a nice place. The first place I was shown in California cost $800 and it was about one-third of the size of my Midwest places."

With many goals, an economy with prices rising, and an expensive location, what did Jessica do? She moved in with nine other girls in a five bedroom home.

"People respond exactly like you did - YOU HAVE NINE ROOMMATES?" she laughed. "I should probably win an award or something." And Jessica does: the home's monthly rent, including bills, cost $2000 a month. But divide that by ten people and her total cost is only $200 a month - 4% of her post tax income.

And Jessica, like many other Echo Boomers, loves to experience a strong social environment, but it does come with its downside. "Let's just say," Jessica laughed, "that there are times when a girl needs some privacy and well, with nine other girls, it's hard to find that."

Chill With The Doers

David dislikes spending on stuff. He watches people buy a bunch of junk that they never use only to continue doing it ad infinitum. But David has one weakness: trying new things.

"It's easy to save money when your cost for event A in dollars is low, but high in time," David said to me, as we discussed his savings' goals. "When you think about it, you need a lot of time to spend money, otherwise, it's just money growing." David's secret involves a group of friends who like to enjoy new challenges. The added bonus is that, unlike David, most of his friends were poorer than him, so everything cost little money (while David admits that when it comes to experiences he doesn't mind spending a few extra dollars).

David's life involves doing many different things when he has time away from work, but never enough time to spend his cash. Within a decade, David will opt for early retirement and continue to do crazy things with his friends. As he said toward the end of our conversation, "A $100,000 will last longer than I intend to live if I'm only spending a $1,000 a year." I think that he's wrong though - this guy will easily live to 180.

No Man Is An Island ... Well Except That Man, and That Man, Oh, and That Man, Oh and That Man Over There ...

Jeremy excelled at everything since he was a young kid. But whether he was "too smart for his own good" or was tired of pleasing everyone, he finally had enough and exited civilization.

"I built an underground home on a 1000-acre property," Jeremy told me. Unlike the other Echo Boomers in my study, I actually knew Jeremy from a friend - he had been an engineer for a while, amassed a huge pile of cash and left for his own land (his financial data are not included in my study as that would not be random; his story, however, is interesting). However, Jeremy accomplished a task that I thoroughly interested me: he built an underground home and completely generated his own electricity. "When I first built the home, it consumed about $10 a month in electricity. Now it consumes $0 a month. So much for inflation," Jeremy bragged.

But what made Jeremy exit civilization in the first place? "I realized that as I was around more people, I was less happy. Their fears became my fears, their hopes became my hopes and in order for me to stop it, I had to get away. But getting away a few weeks out of the year wasn't enough; I needed to exit for longer." Jeremy built his house and planned it for self-sufficiency with a property that produces food, water and a few other important commodities.

And Jeremy said something I won't forget for a long time, "I can live without happiness, and hope and even success. But I cannot live without peace. And I have that here on my own."

Saving Money While Spending $500,000

The economy collapsed. Home prices fell. Everything went on sale as merchants were desperate for dollars.

Enter Jared.

Jared hates frugality. He won't read your frugal blog, your frugal book, or buy your frugal videos. Why? "I came from poverty and there's nothing more 'frugal' than poor." We can agree or disagree with Jared here, but he surprised me in our conversation as he doesn't spend foolishly.

Jared amassed over a half of million in cash (in the study, the top spot is held by an Echo Boomer with $400,000 and you'll see why Jared doesn't hold the top spot). When the economy collasped, Jared saw everything he wanted to buy with seriously discounted prices plus desperate sales people. Jared wanted that silver convertible at a steep discounted price. He got it. Jared wanted a large home with hardwood floors and granite countertops. He got it. Jared wanted nice possessions, like a TV, hot tub and fancy lighting to fill his new house without sparing any desire. He got it.

He also signed up for lifetime memberships at places where most guys wouldn't step a foot in (salons, special fitness clubs, et cetera). "I'd say that I received a $1.5 million dollar value by only spending a half a million," Jared said. "The key was timing." Jared has a point: one might be tempted to call him a materialist, but even if that's true, his desire fell in line with his financial sagacity.

Of course, writing his story without adding that he didn't liquidate any retirement assets might paint a different picture. "Oh yeah, I still have six figures in retirement accounts - I wouldn't empty those." He went on to admit that he's done all the spending he wants (except some travel). He can save the rest of his income without worrying about needing new stuff for a while, or wait until the next recession sets everything on sale again.

"The best way to save money is to spend it," Jeremy said. "You know, when the time is right."

Seeing Makes It Easier To Believe

If some of these seem far-fetched, they're not. Creative living often arises from limitations.

Another example from a young Echo Boomer [updated link], Ian, shows purchasing unwanted land and building his own home. Notice how Ian shares some of the same patterns with other male Echo Boomers. Some commenters on his GetRichSlowly entry ask questions about how he'll get married, how he'll socialize, or why would he live in the middle of nowhere. Yet for many readers of The Echo Boom Bomb, none of you feel surprised by what he's doing because I've predicted already that many of the successful male Echo Boomers will not marry.

When Will the Higher Education Bubble Pop?

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.

4 Signs To Keep An Eye Out For

[Update: dead image]

While an education bubble exists, it won't pop [update: replacing with the softer term of "pop"] until a combination of a few of these things occur first:

1. Bankruptcy laws change for student loans. If students can discharge their loans through bankruptcy, lenders will be reluctant to lend money to students for school. At this present time, students have no bankruptcy options for their loans (except in heteroclite circumstances), so lenders see little incentive to stop lending. This does not apply to forgiveness programs, as student loans being forgiven will still encourage lenders to lend since they're getting free money from whoever is forgiving the loans (private or public entities).

2. The perception of education changes. Echo Boomers were inculcated with "get a degree" messages from everywhere. As Echo Boomers mature and make less money than they expected, they will communicate their disappointment with education to the next generation. Unless Echo Boomers look back on education with rose color glasses, the next generation will hold a different outlook on education than their parents.

3. A major recession returns to the United States. If a major recession returned to the United States, and students were unable to pay back their loans (ie: the principal balances kept growing), this event could trigger a collapse in the education bubble. Lenders would fail to receive their money they lent and would struggle with educational institutions over funds.

The problem with this point: the Federal Reserve might bail out these lenders, continuing the cycle of borrowing money for school (like we see for housing). This sets the stage for an even larger collapse (like we're seeing with housing). The collapse could be the currency. Or it could be something else that's even worse.

At some point, central banks around the world will stop favoring dollars. You cannot keep handing institutions money that creates inflation and maintain the value of the currency. For instance, I observed that after the 2008-2009 (which will someday be viewed as highly inflationary because asset inflation is still inflation), both Russia and China significantly reduced "dollar" based business in different ways. Russia bought gold. China started purchasing materials' producers, ports and other hard assets while only adding a fraction to the US dollar (think of a 90-10 approach, where it seems like they're addinng dollars, but they're actually buying real assets).

In other words, there's a limit to bail outs.

4. Students become overwhelmed by negative news. The education bubble could pop tomorrow if students suddenly became depressed about their prospects and stopped attending school. Ironically, in this case only, students might receive much better prices later if every student in higher education boycotted educational institutions (won't happen because American parents don't think like this). However, if students stop believing that their education is serving them, what's the incentive for continuing to pay?

If any of this occurs soon, the major problem is the actual student loans. Many homeowners "strategically defaulted" when they realized their house was wasting their money. Why wouldn't students just drop out of society if their student loans were high enough? Of course, if these things occur, tax payers will be on the line, just like they were during the housing bubble.

Private Discussions - Updated and Shared Later

Privately, among home schooled groups, I have advised parents to stop sending their children to American colleges. In addition to poor quality education, many in media have written about a kangaroo court system. I won't dive into details in this article, but I speak about this with home schooled groups with details shared by attorneys who are often called into these situations.

Historically, prosperity hides and prevents genius - many philosophers have noted derivatives of this view. American colleges have received an abundance of income, but have students been better off? In addition, are students intellectually superior to the people who graduated in the past? The latter question is more subjective, but when you start to consider costs and result, many parents admit they don't think the cost is worth it.

This is not the case in non American universities. For one, admissions standards are extremely difficult. Two, students often have little time except to study and learn. Third, if the student is also applying a new language (Mandarin Chinese, Spanish, etc), they have the added benefit of double learning. Finally, many non American universities are cheaper. I highlight many examples in my presentation where students can get a 4 to 5 year degree for less than $10,000!

What Does Generation Y Say About Marriage?

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.

Working at a financial institution, I would never initiate this question as it's impertinent to money. However, one study [Update: dead link removed] asked questions to Echo Boomers about marriage. Since I've written about low marriage rates and how this will affect the future economy (change the dynamics a bit, but nothing terrible), as a counter point to my prediction that marriage rates will remain low for Echo Boomers, this study presents a different perspective. Some excellent gems:

The five major groups and some demographic details about each group:

• 23% of Echo Boomers think that marriage is a partnership. This group tended to be educated and posses a high-income.

• 22% of Echo Boomers think that they are not ready for marriage. 70% of these Echo Boomers were males.

• 22% of Echo Boomers think that marriage is central to their life's plans. This group was made up of mostly highly-educated, white Echo Boomers.

• 19% of Echo Boomers think that marriage is a love story. Two-thirds of this group was made up female Echo Boomers.

• 14% of Echo Boomers think that they never want to partake in marriage. This group was made up of mostly low income Echo Boomers.

Other interesting information from the study:

• Female Echo Boomers didn't mind discussing marriage, while male Echo Boomers tended to be content with being "left out."

• Some male Echo Boomers considered marriage an "outdated" concept.

• 82% of Echo Boomers expect to be married for life.

• 75% of Echo Boomers stated that they would rather be alone for the rest of their life than marry the wrong person.

This study contradicts my prediction that marriage rates will be historically low for Echo Boomers by pointing out that only 14% of Echo Boomers never want to marry. The rest of the Echo Boomers it seems just aren't ready for it, or haven't found their partner/lover/central person. So anyone in the marriage/divorce industry, don't panic yet as it's possible that this study ends up being correct and not my prediction!

Reminder

As a general reminder, I often consider other views that disagree or contradict my own. In my view, I cannot form a view if I don't consider what other people, research or studies communicate about a topic.

As an example of this that I've shared with thought leaders, in my view this other study contradicts itself because it notes this response from Echo Boomers:

75% of Echo Boomers stated that they would rather be alone for the rest of their life than marry the wrong person.

Yet when speaking with older generations who married, close to half think that they married the wrong person at any given point. The response to this question can also change relative to the time - ask a couple independently if they married the person right after an amazing vacaction or right after a major financial dispute. The answer may change.

What I do see with this study is that Echo Boomers have many false beliefs about marriage and these false beliefs will prevent a larger portion than people expect from getting married. You can read related posts for my predictions on the Millennial marriage rate.

Other Generation Y and Marriage Posts:

Will Low Marriage Rates Sap the Housing Demand?

Will Marriage Become A Minority?

What Services Does Generation Y Like/Dislike?

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.

Millennial Trends From A Study (2011)

Some fascinating selections [Update: dead link removed] about Echo Boomer's taste in products and services (especially with technology):

• 9 out of 10 Echo Boomers above 18 use the internet.

• 3 out of 4 Echo Boomers use social networking, like MySpace, Facebook, et cetera.

• 3 out of 5 have wireless access to the internet.

• Over 4 out of 5 keep their cell phones with them at all time.

• 40% have no landline.

• 2 out of 5 Echo Boomers have at least one tattoo.

• 25% of Echo Boomers have a non-lobe piercing.

• Echo Boomers value services and products that do not harm the environment.

• Echo Boomers value real estate that is close to their work and their social outlets.

• Echo Boomers are less willing to own cars than previous generations.

• Echo Boomers value stable investments such as cash, bonds and money markets.

Notice the Themes

Digital. Your business digital presence matters to Echo Boomers. I know this seems obvious, but I still meet business leaders with no digital presence. This may make sense for selling to Baby Boomers and Xers, but outside of geographical businesses (ie: local coffee or plumbing), your digital presence will carry power with Echo Boomers. If you live in a highly social area where Echo Boomers congregate (geographical), you can maintain a physical presence without an online presence.

Social. Whether it's living near friends, commuting with friends, or copying their friends, Echo Boomers value their friends because their perception of value is determined by others. Thus, if an Echo Boomer shares a story and that story doesn't get any Facebook likes (as an example), they feel bad about that story. Echo Boomers need others to validate their life and decisions, so this means that they need to live by others, and constantly get feedback from others, and identify what others are doing.

The recession is fresh in their mind. Their focus on stability originates from what they saw during the financial crisis. This event is still fresh in their mind and it drives a lot of their financial behavior from investing in perceived stability to keeping expenses low if they can. In talking with other thought leaders about Echo Boomers, I've heard a few suggest that Echo Boomers have not recovered from the 2008-2009 crisis. My numbers tend to align with this observation and if this continues, I expect that this will have implications for this generation as a whole.

"No Vehicles Please. We're Echo Boomers."

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.

Do Echo Boomers Value Owning Their Own Car?

As Echo Boomers mature, some generational differences involving car ownership are beginning to emerge. While the article seems to imply that Echo Boomers avoid car ownership because of the environment, most of the avoidance comes from the costs of a car (important: what cars will Generation Y buy?). Another missed observation is Echo Boomers choice in where they live.

Keep in mind that only 10% of Echo Boomers hold more than $1,500 in their name, and anyone with a car can tell you stories about a time when their car needed repair. These repairs add up over time, and they reflect only the tip of the iceberg. A car owner also needs gasoline, regular oil changes, and decent insurance. With some of these prices rising, some Echo Boomers may find that using public transportation or living close to work provides them with more money.

Some other noteworthy trends:

1. Many Echo Boomers admit that if they could, they would drive less than they currently do [Update: dead link removed]. Notice the main reason: the high cost of owning a car, not the environment. The additional information about texting and posting to Facebook provides some humor that many car companies won't appreciate.

2. From the same article [Update: dead link removed], unlike former U.S. generations, Echo Boomers would like more transportation options. Based on the Echo Boomers I've spoken with, it seems that the Southern Millennials experience this problem with transportation options more than the Northern Millennials. Other transportation options such as public transportation, electric/fuel cell cars, natural gas vehicles, and even carpooling options may also be popular among Echo Boomers in the long run.

3. When it comes to environmental concerns [Update: dead link removed], Echo Boomers drive less due to environmental reasons than other U.S. generations. As they have more options with vehicles, this may play into their considerations if they buy a car - a fuel cell or electric vehicle will be preferred over a gas guzzler, plus $4 per gallon is still fresh in their mind.

4. The most popular choices and brands of cars right now with Echo Boomers center around price. Right now, price is the biggest factor in their choice and this will continue as long as they have light wallets.

One caution I frequently have said in discussions following this article and highlight: what Echo Boomers do now reflects their youth and growth. Neither them nor their younger peers (iGenZ) may act and do the same in the future. Echo Boomers may value ownership in the future. I expect iGenZ will value it more because the younger generation often reacts to an older generation.

Since writing this article, I've had people confused as to Echo Boomers wanting to buy a car later in their 30s. People mature. That's why.

Where Do Echo Boomers Live?

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.

And Where Will They Live In the Future?

Within the age range of 18-28, 54% of Echo Boomers live in the suburbs (32% live in the "central city"). Considering that fewer than 11% of Echo Boomers are homeowners as of 2011 (see this article for details), I see a few possibilities about Echo Boomers and homeownership.

If transportation costs can stay low, the suburbs might continue to offer the preferred place for Echo Boomers to live. However, in order for transportation costs to stay low, alternative transportation options must surface. I doubt the price of oil will ever return to below $3 a gallon for a sustainable period of time (though, anything is possible), and thus other transportation options, such as electric vehicles or natural gas vehicles, must rise in popularity. If Echo Boomers don't spend time worrying about how much higher the price of oil will go, some of them may place down roots and start buying homes.

However, if oil continues to be the preferred method of transportation, I would expect few Echo Boomers within the next decade to plan buying a home. Why? Because Echo Boomers can't bet that their standard of living will improve in the future, so throwing money down a home could become a major liability. Remember that the pain of $4 a gallon is still fresh in their mind along with the recessionary effects that $4 per gallon created.

I'll add another trend I've noticed: From 2010 to 2011, fewer Echo Boomers have expressed interest in eventually buying a home. For instance, in 2010, about one third of Echo Boomers stated that they wanted to buy a home within the next five years. In 2011, only about 20% of Echo Boomers express interest in buying a home within the next five years. While the change may seem confusing, when we consider how much food and oil prices have changed within the last year - reducing Echo Boomers' purchasing power - we can see that Echo Boomers remain dubious about a positive financial future.

Nonetheless, with 54% of Echo Boomers currently in the suburbs, I'd expect that some of them will eventually settle down to buy homes.

Popular Real Estate Development Example - The Domain In Austin Texas

Other Housing Articles:

Do Echo Boomers Just Own or Rent?

No Houses Please. We're Echo Boomers.

Will Low Marriage Rates Sap the Future Housing Demand?

Do Echo Boomers Lack Religion?

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.

Echo Boomers appear less religious than former generations, according to a study [Update: dead link removed] on religion and Echo Boomers. There are a couple of built-in assumptions in this study, such as a lack in religious views would be reflected in (1) no religious affiliation, (2) less church attendance, and (3) religion is not as important in life when compared to former U.S. generations.

Obviously, those three assumptions may not reflect religious views in an accurate manner, but it would seem, for now, that Echo Boomers are not as religious as former U.S. generations. Some data points:

• 25% of Echo Boomers are unaffiliated with any specific religion.

• 33% of 18-29 year olds attend a religious service at least weekly.

• 48% of 18-29 year olds pray daily.

• 45% of 18-29 year olds see religion as important.

• 64% of 18-29 year olds are absolutely certain there is a higher power.

• 55% of 18-29 year olds accept evolution as an "explanation for human life" (this is Pew's definition, not mine). This final view does not indicate a lack of religion among Echo Boomers as evolution and religion are not mutually exclusive.

Keep in mind, that when I refer to Echo Boomers, I am referring to those between 18-31, so this study from Pew does not cover all the Echo Boomers I am referencing in my study. It does show some patterns we should expect overall from Echo Boomers.

Historic Themes

The pattern of a religious society shifting to a non-religious society has happened throughout human history. When speaking with thought leaders, I note that I use trends like this to compare with what we've seen in history. For example, feudal Russia was extremely religious. However, when it collapsed and became the Soviet Union, it became very non-religious. In fact, Soviet citizens would have said early in the history of the Soviet Union that religion in Russia's past helped legitimize the feudal authority. Let's ignore the obvious irony of religion not being needed to legitimize Vladimir Lenin, Joseph Stalin, or the stagnant Soviet bureaucracy before its collapse.

But societies that shift from religious to non-religious can see other shifts in sociocultural phenomena that may not seem related initially. This is one reason that this is a useful data point to collect. In a similar manner, a secular shift could simply be a pendulum reaction (like the Baby Boomers during the hippie "love and peace" era) that passes at the generation ages. In this instance, the generation may swing to the opposite extreme as they age, which could bring other trends.

How Much Money Do Echo Boomers Make?

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.

If you read the article Echo Boomers, you might have been confused on two separate items: Millennial median household income is $58,620 while Millennial median individual income is $22,000. Obviously the word household is what distinguishes the two - in one case you may have two people, in the other case you only have one.

1. Timing is everything. The second study observed that Millennial median income had fallen from $30,000 a year to $22,000 a year from 2009 to 2010. The first study only observed 2008. Post recession, almost a third of Echo Boomers don't have jobs, which will play into low income figures.

2. Marriage matters. Household income should be higher than individual income because a household can have more wage earners than one. If two married people each make $44,000 a year, the household income would be $88,000 a year while the individual income would be $44,000 a year.

2. Marriage matters - men. Men significantly see increases in income when married. This is one reason why the median household income is much higher than if you took two median individuals and combined them. In fact, many of the "households" had one income. How could that one income be higher than the median individual income? Married men were often the reason why.

Important side note: When media sources lie (neither of these did), they often lie by using the word "household." For instance, they will claim that "household income in the United States has been decreasing for three decades" without telling you that households in the United States have been decreasing in wage earners in the last three decades (ie: the rise of single parents).

Do Echo Boomers Fear China?

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 blog post [Update: dead link removed] discussed a recent Brooking's study [Update: dead link removed] about Echo Boomers and their views on countries as allies or problems. When it comes to China, Echo Boomers differ from former U.S. generations as more Echo Boomers tend to see China as a potential problem. Of course, this study failed to clarify how Echo Boomers saw China.

As an example of this, Echo Boomers grew up in a world where jobs were being exported to China to capitalize on cheap labor. The U.S. lost manufacturing jobs, which have historically paid well, while China made major gains. In the past thirty years, China's trade surplus has grown while the U.S.'s trade deficit has increased. Echo Boomers may see China as a threat only in the sense of economics, not in terms of military.

But I've cautioned a nuance here with thought leaders on this subject: some Echo Boomers see the U.S. as the problem in this situation of exporting jobs. This means that China isn't a threat to them, but incompetent U.S. leadership is. How does this play out over time? It will vary by the group, as some Echo Boomers view this as a reason to leave the U.S. entirely, while others may vote for policies that haven't been popular in decades. I've already noted multiple times that ambitious young male Echo Boomers have left (and are leaving) the United States. China is one destination along with other countries in Asia.

Related To This and the Impacts

As an additional note, many Echo Boomers think that China will be the most powerful country by 2025. If you spend any time at all reading online news, you will know that this view is prevalent throughout U.S. media. While I don't doubt that China will become the dominant power, it should be of note that for a generation that reads a lot of online news, this view is not surprising. Anyone who's visited China will feel impressed by its rise as well. China has already surpassed the United States in terms of innovation and I expect this will continue throughout this century (maybe longer).

Notice theme? According to most online media, globalism is a good thing. Yet Echo Boomers don't see a higher standard of living, lower costs, better jobs, and they won't live as long as their parents. In an Echo Boomer's mind (and this frequently comes up with them), how is globalism good?

Even though Echo Boomers trust the internet and use it frequently as I've noted, an online narrative will never defeat personal experience. I'm neither saying anying positive or negative about globalism, but noting here that if people don't feel the positive effects in their life over time, your narrative will fail and then they won't trust you.

I think that Echo Boomers' views on China as a potential problem (mostly from an economic standpoint) will encourage them to vote and fight for policies which favor domestic production over foreign production, if they remain in the United States. We may be seeing the end of the view that globalism is a good thing, as Echo Boomers - who are experiencing high rates of unemployment - see China as an economic threat (or other countries that Echo Boomers perceive to be doing the same).

Male Echo Boomers and China

As I noted, ambitious young male Echo Boomers see Asia as a destination to start a business, family and receive superior products and services. Consider that most of the items Americans buy are made in China! The standards of living in China - especially healthcare - are significantly higher than the United States. Young men know this inherently because it's politically popular to attack young men. I've noted consistently that Obama and Democrats have wisely targeted young women because they vote more. This is a good strategy in the short run, but it does carry longer term costs that the Soviet Union proved.

In a nutshell, my granny's observation that "girls mature faster than boys" explains why it makes sense to target young women over young men. Young women have early advantages. What goes missing that we saw in the Soviet Union is what happens when young men mature? You can see what happened in the Soviet stagnation. The Soviet Union even got cute for a period and tried to stop people from leaving, but that further hurt the country because people won't invest in something they hate. Putting up walls creates an environment of contempt.

The young male Echo Boomers who have left the United States and continue to leave the United States will create powerful innovation in other countries. They will help those countries avoid stagnation that will put pressure on those leaders. But they're too young to do anything right now and as I highlighted, young women are always more popular in every society than young men. Young women are more likeable across the board. This is partially explained by my granny's observation.

But what I would caution any leader is something too many people miss: you can predict a country's future by evaluating how it treats its young men. The Soviet Union provided a great example of this in the past. The United States is currently providing a great example of this now (watch out China because you will be tempted to alienate your young men someday). This group of young men does not fear China nor see China as a threat. Rather they welcome a society that encourages and desires innovation regardless of what "group" it originated.

Note the Perspective

One point to remind people here: this article is written from a U.S. leadership view, not Chinese view. Unbalanced trade leads to long term resentment and possible conflict. I am not advising any foreign leadership, but if I was, I'd highlight that every country should aim for trade and business that prevents long term resentment. As Sun Tzu remarked, all wars are won in economics long before they're won on the battlefields. Novices love talking strategy, while experts grasp that logistics determine outcomes. Sun Tzu ultimately recognized that you win by never getting into a war in the first place. In other words, think about how you can win but in the same context as the other person can win. You'll never have to worry about later resentments because everyone is winning.

This applies to other countries as well. "Are we creating a bonfire of later resentment?" Remember that thinking requires work and effort. The best use of critical thought is creating situations that age well.