[HN Gopher] Is the American Dream Dead?
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       Is the American Dream Dead?
        
       Author : cs702
       Score  : 19 points
       Date   : 2023-12-02 21:08 UTC (1 hours ago)
        
 (HTM) web link (www.ft.com)
 (TXT) w3m dump (www.ft.com)
        
       | hoppyhoppy2 wrote:
       | https://archive.is/CIlEe
        
       | prh8 wrote:
       | Yes, Reaganomics and late stage capitalism killed it
        
       | Gimpei wrote:
       | I'm not a fan of big idea books, in particular when they're by
       | journalists, who are basically dilettantes. I'll challenge the
       | very premise on two counts. One, it's debatable that the US was
       | never all that mobile (see the latest American Economic Review)
       | and two, median household income is way up since 2001:
       | https://fred.stlouisfed.org/series/MEHOINUSA672N.
        
         | readingnews wrote:
         | I have a CIO who stated, our churn is no worse than anyone
         | elses, on average. The problem with that statement was that our
         | churn was department specific, so if you looked at the average,
         | it looked great. But if you zoomed in, the highly skilled IT
         | workers were fleeing, and we were left with huge holes that
         | caused real problems.
         | 
         | In the graph you link to, I would love to see that with the top
         | 10%, perhaps even 20% removed. I really wonder how a few
         | hundred people like Elon or Bezos skew the median, plus the
         | thousands of CIOs making 400X what I make.
        
           | HEmanZ wrote:
           | No one can skew the median. They can skew the mean.
        
         | willis936 wrote:
         | Now divide that trend by cost of housing rather than consumer
         | price index. The market is saying "get in the box, pay the rent
         | we are illegally fixing, and don't even think you'll be
         | building equity or gaining security over the course of your
         | life". If you don't have any anxiety about an aging society or
         | living in a declining empire: you should.
        
       | hash872 wrote:
       | As an American I constantly hear about how the Nordic model of
       | social democracy is superior. I feel like it's underdiscussed
       | that the Nordic countries have very high wealth inequality
       | though. According to 2019 Gini numbers, both the Netherlands and
       | Sweden have more wealth inequality than the US. (1) Denmark, BTW,
       | is quite close to the US- #8 in Gini to America's #4. If wealth
       | inequality is so bad, are the Netherlands, Sweden, and Denmark
       | doing poorly? I'd like to hear this discussed more.
       | 
       | In terms of income inequality, the US is #61 out of 168 countries
       | by 2020 World Bank numbers. (2) Hardly seems shocking to me.
       | Anyways, just trying to inject some facts into what's usually a
       | quite emotional subject. I hear a lot of comparing how the US is
       | doing now to say 40 or 50 years ago, but less comparing objective
       | stats on the US to other developed countries
       | 
       | 1.
       | https://en.wikipedia.org/wiki/List_of_sovereign_states_by_we...
       | 2.
       | https://en.wikipedia.org/wiki/List_of_countries_by_income_eq...
        
         | onetimeuse92304 wrote:
         | I think wealth inequality numbers can be misleading.
         | 
         | I was on a contract in Stockholm for a bit. There, I worked
         | with some support line people. Working on a support line, they
         | were able to rent a flat, afford to study at a university (debt
         | free!), have access to medical system, party pretty much
         | regularly and relatively good food. They would not be saving
         | much after all this, but that probably was because they were
         | young people and were not thinking much about saving anyway.
         | 
         | Now, do tell me what does an entry job on a support phone line
         | buy you in the US?
         | 
         | One reason for wealth inequality numbers is high immigration in
         | Scandinavia. For example, in Sweden, 20% of all residents are
         | foreign born immigrants, compared to 14% in US.
        
         | bryanlarsen wrote:
         | Do a present value calculation of the real value of a solid
         | pension. You'll get a value well into the 6 figures, if not 7
         | figures. Now do a present value calculation of all the health
         | insurance premiums a person will have to pay over their
         | lifetime. And similar for all the other social insurances
         | Nordic citizens get for free.
         | 
         | That's all real wealth that's not calculated in your links.
         | 
         | Or put another way: the Nordic model does not reduce
         | inequality, it reduces the consequences of inequality.
        
           | hash872 wrote:
           | The US spends over a trillion dollars on Social Security
           | annually, plus I believe another $1.4 trillion or so once you
           | add up both Medicare and Medicaid. (Fun fact no one knows,
           | the US now spends more on healthcare for the elderly than the
           | entire famous military budget). So that covers both pensions
           | and healthcare (which are never free for anyone in any
           | country, you obviously have to pay at some point). So once we
           | factor in over 2 trillion dollars of _annual_ US spending on
           | pensions and healthcare, I doubt there 's a huge difference
           | there
        
       | nadermx wrote:
       | Was it ever sustainable?
        
       | tennisflyi wrote:
       | Simple math puts renting/owning a(n) apartment/house out of reach
       | for many. So, yeah.
        
       | nine_k wrote:
       | > _while 92 per cent of children born in 1940 had higher
       | household incomes than their parents, babies born in 1980 had
       | only a 50 /50 chance of doing better than the previous
       | generation._
       | 
       | Come on. The generation which was born in 1940 was born after (or
       | arguably during) the Great Depression, and then got to live their
       | lives in the world after the hugest world war, from which the US
       | emerged as a victor, and mostly intact. In their adult lives they
       | encountered the period of American economical and technological
       | hegemony, while Europe and Japan scrambled to restore themselves
       | after the devastation of the war.
       | 
       | It was really hard for that generation to not live better than
       | their parents whose adult life went through the times of the
       | Prohibition and the Great Depression. A contrast like this cannot
       | occur "naturally", during times of peaceful life and regular
       | progress. So the 1980s were a regression to the mean, when the US
       | started to face some real competition. As the generation of 1940
       | (and even more so, of 1950) got a lot of wealth very quickly, it
       | became really hard to compete with them, as assets like land and
       | realty had appreciated a lot by 2000s when the generation of 1980
       | came of age.
       | 
       | But on topic: the American Dream is defined as <<life should be
       | better and richer and fuller for everyone, with opportunity for
       | each according to ability or achievement>>. IDK about "better"
       | and "fuller", but 2000s with their continued technological
       | explosion offered a huge amounts of opportunity, admittedly with
       | a crash in the end; 2010s seemed to be totally not devoid of
       | opportunity, too. The "richer" part was hit hardest; while
       | opportunities to go from rags to riches demonstrably existed,
       | they hardly affected "everyone". As of "fuller", well, the
       | society, to my mind, have become more tolerant and open; I
       | suppose that living a "fuller" life as a woman was/is easier for
       | a person born in 1980 than born in 1940.
       | 
       | For a more informative comparison, I'd like to compare
       | generations of 1890, 1900, and 1920, for instance.
        
       | Animats wrote:
       | _" In a country that fundamentally skews more socially
       | conservative, the Democratic party has also become too radically
       | progressive on social issues such as abortion, immigration and
       | LGBTQ rights."_
       | 
       | That put Trump in the White House last time. Re-read the
       | Wikipedia summary of the 2016 campaign season.[1]
       | 
       | It will be worse next time. Read "Project 2025", the conservative
       | master plan from the Heritage Foundation.[2] Last time around,
       | Trump took office with no plan. This time, there's a plan. 900
       | pages. Important enough to read. Wikipedia has a summary.[3]
       | 
       | [1]
       | https://en.wikipedia.org/wiki/Donald_Trump_2016_presidential...
       | 
       | [2] https://www.project2025.org/
       | 
       | [3] https://en.wikipedia.org/wiki/Project_2025
        
       | lordnacho wrote:
       | As a European with substantial friends and family in America,
       | yes.
       | 
       | The American Dream is interesting because it's not just "Can I
       | make it if I try hard as an American", it's also "would I want to
       | go to America, as a foreigner?". To the rest of the world it is
       | as much an ideal as it is to Americans.
       | 
       | Now of course there are many people who still try to gain
       | entrance to America. Undoubtedly, some of them are leaving places
       | with worse opportunities.
       | 
       | But I'm going to take it from my family perspective. My parents'
       | generation basically got kicked out of the old country in the
       | late 1970s, and ended up spread around various countries.
       | Denmark, France, UK, Canada (Vancouver/Toronto), and a large
       | contingent in the US (CA, CO, DC). Big family, more cousins than
       | I can count. Even more people and countries if we start counting
       | family friends and distant relations.
       | 
       | Now and again people meet up. When someone is traveling, whoever
       | is around tries to hang out with them. Luckily we have no alcohol
       | tolerance so it is cheap to get us drunk.
       | 
       | Inevitably, people end up asking each other what it was like to
       | grow up in whatever country it was.
       | 
       | Above everything, two things stick out. University costs a bunch
       | of money in America, and health insurance costs a bunch of money.
       | Not only that, your chances at secondary school depend a lot on
       | where you started out. There is systematic racial bias built into
       | the admission system. With the cost being so high, you'd better
       | hope nothing bad happens while you're studying.
       | 
       | The health insurance thing is a big deal as well. Get sick, go
       | broke. Don't lose your job either.
       | 
       | And what does your day-to-day look like? Well, you walk out on
       | the street in SF and there are people using the public streets as
       | toilets. There are people in obvious need of psychiatric help
       | wandering around cursing their invisible enemies. There are tent
       | camps of people who live in the middle of one of the most
       | prosperous cities on earth. There are videos of large groups of
       | people completely messed up on drugs, just sitting in the middle
       | of the street. There are people who loot stores en masse.
       | 
       | The question of "can someone make it if they work hard?" is also
       | a question of fairness. What rules have they got in place in
       | America, so that people who did well previously do not simply use
       | their winnings to keep "winning"? Well, it seems like there are a
       | lot of rules that favor the already rich. We hear they can
       | arrange their taxes favorably. We hear they can lobby Washington.
       | They can get their kids into those universities, something that
       | is not so straightforward in other countries.
       | 
       | This is all on top of an electoral system that is not
       | proportional representation, for various reasons. It seems to
       | favor stasis, with two large parties that have kept everything
       | the same for a long while.
       | 
       | Anyway, that's enough for now, getting late here, but there are
       | other thoughts to gather on the subject.
        
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       (page generated 2023-12-02 23:01 UTC)