Americans 70 and older now control an outsized share of the nation’s wealth, equities and housing assets, a shift driven by demographics, rising corporate profits and decades of soaring home and stock values, The Wall Street Journal writes.
Federal Reserve data shows older households have steadily increased their share of net worth and market holdings, even as wealth has lagged for younger groups. Many retirees are also financially and physically healthier than prior generations: Most own their homes, often with little debt, and benefit from the stabilizing backstop of Social Security and Medicare.
That security is shaping the broader economy. Spending and job growth increasingly track the needs of an aging population, while younger workers contend with higher housing costs, slower asset accumulation and a labor market being reshaped by technology. The political pressure to protect seniors remains intense, but the budget math is tightening.
The result is a quiet redistribution of economic power that is redefining who drives consumption, who carries fiscal risk and what “growth” looks like in an older America.
Read the full story from The Wall Street Journal.
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