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| Young Adults, Burdened With Debt, Are Now Facing an Economic Crisis | Young Adults, Burdened With Debt, Are Now Facing an Economic Crisis |
| (32 minutes later) | |
| The last time a serious economic downturn hit in 2008, Evan Schade was in high school and the crisis seemed like a news event that happened to other people. This time, as the coronavirus has brought the economy to its knees, it has become a personal affair. | The last time a serious economic downturn hit in 2008, Evan Schade was in high school and the crisis seemed like a news event that happened to other people. This time, as the coronavirus has brought the economy to its knees, it has become a personal affair. |
| When nonessential businesses were closed last month in Kansas City, Mo., where he lives, Mr. Schade, 26, lost his job at a carpet store and almost all of the shifts in his second job at a coffee shop. His girlfriend, Kaitlyn Gardner, 23, was laid off from a different coffee shop. | When nonessential businesses were closed last month in Kansas City, Mo., where he lives, Mr. Schade, 26, lost his job at a carpet store and almost all of the shifts in his second job at a coffee shop. His girlfriend, Kaitlyn Gardner, 23, was laid off from a different coffee shop. |
| The money they have in their bank accounts, just over $1,000, is enough to cover only April’s $800 rent check — forget about his $300 student loan payments or the health insurance he was hoping to finally sign up for. The couple have spent their time at home applying for unemployment and fruitlessly looking for new work. | The money they have in their bank accounts, just over $1,000, is enough to cover only April’s $800 rent check — forget about his $300 student loan payments or the health insurance he was hoping to finally sign up for. The couple have spent their time at home applying for unemployment and fruitlessly looking for new work. |
| “I know so many people my age who are going through the exact same thing,” Ms. Gardner said. | “I know so many people my age who are going through the exact same thing,” Ms. Gardner said. |
| The youngest American adults are facing what is, for most of them, the first serious economic crisis of their working lives. By most measures, they are woefully unprepared. | The youngest American adults are facing what is, for most of them, the first serious economic crisis of their working lives. By most measures, they are woefully unprepared. |
| While the last few years were largely good ones for the American economy, that did little to help set millennials up with a solid financial foundation. Overloaded with credit card and student debt, and underrepresented in the housing and stock markets, they entered this uncertain period with significant obligations and few resources. | While the last few years were largely good ones for the American economy, that did little to help set millennials up with a solid financial foundation. Overloaded with credit card and student debt, and underrepresented in the housing and stock markets, they entered this uncertain period with significant obligations and few resources. |
| Their position looks doubly precarious when measured against older generations today and relative to those generations when they were the same age, from 23 to 35 years old. | Their position looks doubly precarious when measured against older generations today and relative to those generations when they were the same age, from 23 to 35 years old. |
| Going into the financial crisis of 2008, Generation X was roughly the same age as millennials today, but had on average twice the total assets that millennials have now when all bank accounts, stocks and loans are added together, according to an analysis done for The New York Times by economists at the St. Louis Federal Reserve. | Going into the financial crisis of 2008, Generation X was roughly the same age as millennials today, but had on average twice the total assets that millennials have now when all bank accounts, stocks and loans are added together, according to an analysis done for The New York Times by economists at the St. Louis Federal Reserve. |
| Now members of Generation X, who are from 40 to 55 years old, are in a strong position relative to millennials, even after being battered by the 2008 crisis. They have about four times the assets and more than twice as much in savings as today’s youngest American adults. | Now members of Generation X, who are from 40 to 55 years old, are in a strong position relative to millennials, even after being battered by the 2008 crisis. They have about four times the assets and more than twice as much in savings as today’s youngest American adults. |
| Those with college degrees, a minority of the youngest adults, are doing better on average than previous generations when they were the same age. But everyone else is doing significantly worse, according to a Pew Research Center analysis last year. | Those with college degrees, a minority of the youngest adults, are doing better on average than previous generations when they were the same age. But everyone else is doing significantly worse, according to a Pew Research Center analysis last year. |
| “Even going into this situation, young adults were in a very precarious situation,” said Reid Cramer, who led the Millennials Initiative at New America, a left-of-center think tank. “A sudden shock is really going to have a pretty big impact on this generation.” | “Even going into this situation, young adults were in a very precarious situation,” said Reid Cramer, who led the Millennials Initiative at New America, a left-of-center think tank. “A sudden shock is really going to have a pretty big impact on this generation.” |
| The turmoil caused by the coronavirus has already brought out other generational divisions. College students partying on Florida beaches have earned the ire of older Americans who face graver health risks when youthful gatherings spread the virus. | The turmoil caused by the coronavirus has already brought out other generational divisions. College students partying on Florida beaches have earned the ire of older Americans who face graver health risks when youthful gatherings spread the virus. |
| But while young adults may face fewer health problems, they are more vulnerable to the financial costs of the downturn. Millennials are much more likely to be involved in part-time work and the gig economy, according to government reports, and these have been hard hit. Such work generally provides few benefits to cushion the blow of bad times. | But while young adults may face fewer health problems, they are more vulnerable to the financial costs of the downturn. Millennials are much more likely to be involved in part-time work and the gig economy, according to government reports, and these have been hard hit. Such work generally provides few benefits to cushion the blow of bad times. |
| The sudden disappearance of paychecks, combined with a wide array of monthly debt payments and the declines in any investments, is forcing some millennials to take desperate measures. Social media has been filled with discussions about how to best take money out of 401(k) retirement accounts to pay for rent. | The sudden disappearance of paychecks, combined with a wide array of monthly debt payments and the declines in any investments, is forcing some millennials to take desperate measures. Social media has been filled with discussions about how to best take money out of 401(k) retirement accounts to pay for rent. |
| Dan Gamez, 22, who lives with his parents near Boston, has been selling his video game consoles on eBay to make his upcoming car payment after losing his job at an AT&T store. | Dan Gamez, 22, who lives with his parents near Boston, has been selling his video game consoles on eBay to make his upcoming car payment after losing his job at an AT&T store. |
| “I’ve just been staying at home and playing video games, so I’m kind of upset I have to do this, but I have no choice,” he said. | “I’ve just been staying at home and playing video games, so I’m kind of upset I have to do this, but I have no choice,” he said. |
| Andrew Lawson, 29, was making $500 to $600 a week delivering food for DoorDash on Hawaii’s big island. After the state shut down nonessential businesses, most restaurants closed. In three days of work in one week, Mr. Lawson made less than $60, which wasn’t enough to cover the gas to get to Kona, the city with the work. | Andrew Lawson, 29, was making $500 to $600 a week delivering food for DoorDash on Hawaii’s big island. After the state shut down nonessential businesses, most restaurants closed. In three days of work in one week, Mr. Lawson made less than $60, which wasn’t enough to cover the gas to get to Kona, the city with the work. |
| “Nowadays I might get a $5 order from McDonald’s after three hours of waiting,” he said. | “Nowadays I might get a $5 order from McDonald’s after three hours of waiting,” he said. |
| Mr. Lawson has a 2-year-old and a pregnant wife, who does not work. They were down to eating plain noodles until he visited a food bank and got a bag of potatoes and some carrots. He has set up accounts on all the social networks to broadcast his need for work — any work. | Mr. Lawson has a 2-year-old and a pregnant wife, who does not work. They were down to eating plain noodles until he visited a food bank and got a bag of potatoes and some carrots. He has set up accounts on all the social networks to broadcast his need for work — any work. |
| “Give me something I could feed my family with,” he said. “I don’t care what it is.” | “Give me something I could feed my family with,” he said. “I don’t care what it is.” |
| The inequality among millennials is even more evident when race is taken into account. Young black families at all educational levels have fallen further behind their white peers over the last two decades in measures like household wealth and homeownership, according to research from New America. | The inequality among millennials is even more evident when race is taken into account. Young black families at all educational levels have fallen further behind their white peers over the last two decades in measures like household wealth and homeownership, according to research from New America. |
| “Over time, it is becoming more difficult for young families to accumulate wealth,” said William R. Emmons, the lead economist at the St. Louis Federal Reserve’s Center for Household Financial Stability. “We thought maybe they’d catch up later, but the current situation doesn’t give me much reason to believe that’s going to happen.” | “Over time, it is becoming more difficult for young families to accumulate wealth,” said William R. Emmons, the lead economist at the St. Louis Federal Reserve’s Center for Household Financial Stability. “We thought maybe they’d catch up later, but the current situation doesn’t give me much reason to believe that’s going to happen.” |
| These disadvantages are already shaping the long-term prospects of young Americans. They are much less likely to be married, have children or own a house than Americans of a similar age in decades past. | These disadvantages are already shaping the long-term prospects of young Americans. They are much less likely to be married, have children or own a house than Americans of a similar age in decades past. |
| Updated June 24, 2020 | |
| Scientists around the country have tried to identify everyday materials that do a good job of filtering microscopic particles. In recent tests, HEPA furnace filters scored high, as did vacuum cleaner bags, fabric similar to flannel pajamas and those of 600-count pillowcases. Other materials tested included layered coffee filters and scarves and bandannas. These scored lower, but still captured a small percentage of particles. | |
| A commentary published this month on the website of the British Journal of Sports Medicine points out that covering your face during exercise “comes with issues of potential breathing restriction and discomfort” and requires “balancing benefits versus possible adverse events.” Masks do alter exercise, says Cedric X. Bryant, the president and chief science officer of the American Council on Exercise, a nonprofit organization that funds exercise research and certifies fitness professionals. “In my personal experience,” he says, “heart rates are higher at the same relative intensity when you wear a mask.” Some people also could experience lightheadedness during familiar workouts while masked, says Len Kravitz, a professor of exercise science at the University of New Mexico. | A commentary published this month on the website of the British Journal of Sports Medicine points out that covering your face during exercise “comes with issues of potential breathing restriction and discomfort” and requires “balancing benefits versus possible adverse events.” Masks do alter exercise, says Cedric X. Bryant, the president and chief science officer of the American Council on Exercise, a nonprofit organization that funds exercise research and certifies fitness professionals. “In my personal experience,” he says, “heart rates are higher at the same relative intensity when you wear a mask.” Some people also could experience lightheadedness during familiar workouts while masked, says Len Kravitz, a professor of exercise science at the University of New Mexico. |
| The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth. | The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth. |
| The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave. | The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave. |
| So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. | So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. |
| Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. | Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. |
| A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. | A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. |
| The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. | The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. |
| Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. | Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. |
| If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) | If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) |
| If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. | If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. |
| Ms. Gardner said that she and Mr. Schade eventually wanted to have a family and a house. But she said, “We’re both going to be in debt for a while, and having kids is just not feasible.” | |
| While there is a chance the downturn will be short, economists are assuming that the turmoil that has already happened will have long-term consequences for young households. | While there is a chance the downturn will be short, economists are assuming that the turmoil that has already happened will have long-term consequences for young households. |
| The 2008 crisis made young Americans then more reluctant to invest in the stock market. Millennials today have, on average, only a third of the stock market holdings that Generation X did before the 2008 financial crisis, according to the data from the St. Louis Federal Reserve. | The 2008 crisis made young Americans then more reluctant to invest in the stock market. Millennials today have, on average, only a third of the stock market holdings that Generation X did before the 2008 financial crisis, according to the data from the St. Louis Federal Reserve. |
| That means that young households have not enjoyed the market gains that came over the last decade. Today, the average member of Generation X has 10 times more wealth from the stock market than millennials. | That means that young households have not enjoyed the market gains that came over the last decade. Today, the average member of Generation X has 10 times more wealth from the stock market than millennials. |
| Jack Ankenbruck, 25, who until last month made a living playing drums in a band in Nashville, began putting money into an investment account with the start-up Acorns last year and had gotten it up to $2,000 by February. The value of the account plunged by almost half in recent weeks, making him question his decision to put it there in the first place. | Jack Ankenbruck, 25, who until last month made a living playing drums in a band in Nashville, began putting money into an investment account with the start-up Acorns last year and had gotten it up to $2,000 by February. The value of the account plunged by almost half in recent weeks, making him question his decision to put it there in the first place. |
| “I’m thinking, ‘What if I’d just kept that $30 a week — I’d still have that money,’ and I could use it now,” said Mr. Ankenbruck, who has been trying to make some money playing concerts online. | “I’m thinking, ‘What if I’d just kept that $30 a week — I’d still have that money,’ and I could use it now,” said Mr. Ankenbruck, who has been trying to make some money playing concerts online. |
| Jayci Cumberledge, 23, in Amherst, Ohio, has no retirement accounts and spent her last $80 in savings to make her monthly car payment shortly after the gastro pub where she worked closed in mid-March. | Jayci Cumberledge, 23, in Amherst, Ohio, has no retirement accounts and spent her last $80 in savings to make her monthly car payment shortly after the gastro pub where she worked closed in mid-March. |
| Ms. Cumberledge’s parents have also lost their jobs in the last few weeks — her father at a Ford factory, her mother driving a van for disabled children. That has made her aware of how much better prepared they were for this, she said, with a house they own and no rent payments to fall behind on. | Ms. Cumberledge’s parents have also lost their jobs in the last few weeks — her father at a Ford factory, her mother driving a van for disabled children. That has made her aware of how much better prepared they were for this, she said, with a house they own and no rent payments to fall behind on. |
| To cover the utility bills for her mobile home, Ms. Cumberledge borrowed $200 from a friend. She has since made some money by selling pictures of her feet to people with fetishes who found her online after she put a joking post on Twitter. | To cover the utility bills for her mobile home, Ms. Cumberledge borrowed $200 from a friend. She has since made some money by selling pictures of her feet to people with fetishes who found her online after she put a joking post on Twitter. |
| “You compare it to the older generations — they worked up and saved money,” Ms. Cumberledge said. “It feels like I’m never going to have a stable job that has benefits and health insurance.” | “You compare it to the older generations — they worked up and saved money,” Ms. Cumberledge said. “It feels like I’m never going to have a stable job that has benefits and health insurance.” |