/biz/ - Business & Finance

>>13083268

>it's real

FUCK BOOMERS

HAVE YOU NOT FOUND YOUR ANSWER YET WITH THE OTHER 530245 THREADS YOU HAVE MADE

>>13083275
You're forgetting inflation.

>>13083268
Yeah this isn't adjusted for inflation. The inflation rate from then to now is a multiplayer of 4.46 . For example a new house back then costs $193,296 in today's money. Which is more than the average cost of a new house today at $188,900. Basically stop being poor and blaming everyone else for your failure OP.

>>13083268
Because we're dumping all of our money into crypto to escape the slavery boomers got us into.

>>13083298
Still. That income to NEW house ratio is fucking obscene.
Or imagine if you weren't a total piece of lazy shit and actually ponied up for a Harvard degree. The dividends back then for being some what educated by-today's- standards surpass anything we can imagine now, short of winning the lotto.

Not to mention sex was relatively safe, cars could be built for engine performance, and cocaine wasn't really illegal yet.

>>13083308
So the average income in the US is $71,783?

>>13083308
The average income is still $10,000 higher adjusted for inflation retard.

>>13083308
inflation is engineered for that effect.
it doesn't account for anything at a small scale though, for example around 5-6 years ago I was looking at a dinky condo in my city at 80k, it's the oldest high rise condo building in the area afaik and most people would be hesitant to buy it. Today it's over 10x as much and has all kinds of marketing around it. I'm sure they renovated the actual unit but come on.

CPI has two flaws, one it is at the highest macro scale and two whatever is measured is an arbitrary determination so it can be manipulated.

>>13083364
>>13083373
Sure the average income is lower but using average as a standard for what you want to achieve in life is pathetic. Anyone who works hard enough can get 100k year income or more after college. Also if you have to pay out the ass for college your doing it wrong.

>>13083380
I guess that's what it takes to live a city nowadays. Some properties in good locations will do that.

>>13083373
$15,000

>>13083308
>Hurdur, inflation affects cost of living across the board.
By your simple calculations, average income adjusted for inflation should be about 70k, not the 55 it actually is.
And a Harvard education would be 14k a year, not the ~60k it actually is.
Now good luck even finding a job paying the average income near a market that also has average housing costs. And good luck getting the job paying that average income without some upper echelon University degree.

>Just be a truck driver

>>13083298
They were able to pay off a house completely in less then a decade.

>"you just aren't working hard enough to wait to make it anon"

>>13083412
>Sure the average income is lower but here is why you should compare apples to oranges
You are too low-IQ to post here. Fuck off.
The fact of the matter is the cost of housing as a function of income is at nosebleed levels historically. You sound like a faggot who just bought a house like a good goy and now you want everyone else to buy your bags. Get rekt, faggot.

>>13083479
Nah, i haven't bought a house yet, I'm waiting for a housing market crash. It's poorfags like you who won't be able to take advantage of a crash and end up buying a shit house for 300k with a huge interest rate. I bet you bought BTC at 20k too.

>>13083505
>poorfags
>Implying
I'm in the same boat as you. Tons of dry powder waiting for the crash.

>>13083479
>Ignoring the fact that population increased just a tiny little bit in the time span of the graph.

>>13083453

>They were able to pay off a house completely in less then a decade.

They would actually be dumb to pay off their houses Anon.

> Inflation had a big effect on those who had long-term home mortgages taken out in the 1960s and early 1970s before inflation increased in the mid and late 1970s. Lenders did not expect much inflation, and they were willing to lend long-term money for houses at interest rates of 5 to 7 percent. When inflation accelerated to 7 to 10 percent, mortgage lenders lost wealth while the borrowers gained.

People in the 1980s had mortgages that were less than their utility bills. They actually wanted to pay it off slowly when they had gotten it at 5% and inflation had been double digit for many years. It was like getting a free house.

This generation is getting fucked

>>13083298

You are forgetting USD purchase power

>>13083412
The whole point of the OP is to show how things are disporportional now. Way to backtrack with your averages talk.

>>13083298

Wages haven't been inflating

>>13083931
why does inflation effect the price of everything except the price of labor?

>>13083412
>>13083308
simply kill yourself

>>13083268
The 2000s suck....

>>13083977
because money simply measures the production of goods and services

the production of goods and services, at most, increases 2% per year (GDP)

whereas, we take in 1 million+ immigrants per year, diluting the labor pool, and lowering the price of labor

why do you think average wage in china is so shit? its because you have 1 billion chinks lined up to do a job if someone quits

>>13083999
>>13083977
https://www.nap.edu/read/5779/chapter/6

>>13083977
Because a growing population creates growing competition for employment which goes hand in hand with technological advancements (automation of positions particularly, not something like a switch from horse to automobile) that kill certain jobs in certain fields and shrink employment opportunities, among other factors.
The only way labor cost can actually scale with inflation is through laborers knowing how to negotiate and not agreeing to work for pennies like $2 crack whores. And since its totally unrealistic to expect people who have barely graduated high school to play a game of prisoner's dilemma cooperatively, it only makes sense for price of labor to never scale.

>>13083977

Interesting isn't it?

lol so back then a house was around 2.7x the annual income.

Today in my shitty poor area in England, a house is around 8x that. In the richer areas a cupboard under the stairs would be even more.

>>13083268
Because they're morons who rent apartments and lease cars and then wonder why they can't make it. Also, they buy link

>>13083268

What did they make per year? Funny how that's never added to these....

>>13085616
>2nd line
Your not even smart enough to make the average non-inflation adjusted income in 1976

>>13084569
Unions, Anon.

>>13083977

>>13083931
>1976 average income $16095
>2015 average income $56516

https://twitter.com/NickSzabo4/status/1031232173561368576
https://mises.org/library/how-central-banking-increased-inequality
https://en.wikipedia.org/wiki/Richard_Cantillon

welcome to inflation and the shitskin problem

>>13083308
>*teleports behind you*
>*whispers in you're earhole:"average cost of a house where I live is $800,000 AUD"
>*chops you in half with my twin blade samurai katana strike*
Nothing personnel kiddo

>>13083999
nice trips but the immigrant boogeymanning is just factually incorrect, the problem is that productivity has been rising due to automation but wages have stayed the same, reducing demand for repetitive labor tasks which made up much of the manufacturing industry,

>>13083268
REEEEEEEEEEEEEEEE

>>13083268
>House for 2.5x salary
>"Yeah I could probably pull that off-"
>NEW house for 2.5 salary
lmaooooooo

>>13083308
>Which is more than the average cost of a new house today at $188,900
LMAO what? No. You might be able to lie that the average house is 188k but a NEW house is easily double that, triple in most states.

>>13085967
Undercut by illegals, which all Unions vote for.

What do you guys think about house prices? Should I put a down payment now or. A few years. Will houses be cheaper in 5-10 years. I'm an economyckmprehensionlet so that's why I'm asking

>>13083268
My parents bought a house at around $50k in the 90s in a nice neighborhood. Now if I want to buy a house around that area, I need $50K as the 20% down payment.

>>13087906
kek if you think this generation is fucked financially just wait for the next one they wont even be able to afford renting a shitty 1 bedroom apartment

>>13083268
What do people think about the following: buy what you rent and rent where you live?

Meme or not? Why shouldn't I buy what I rent and buy where I live too? Inbefore random freedom arguments.

>>13087906
>250k house in "nice" neighborhood
Either you are comfortable living among subhumans with sticky fingers and a mysterious wanderlust that brings them on to your property, or you live in absolute flyover country. Then you can enjoy having urbanite retards dictate your life once the electoral college is abolished in the next few decades.

>>13083268

Opening up this March

https://youtu.be/OIamCXZ6CZI

https://bitcointalk.org/index.php?topic=2827989.680

>>13085967
>expecting unionbosses to handle everyone's business for them and not be slumlords that either fuck everyone up with due costs or are in bed with the suits
The only way for labor price to scale is for the workers themselves to not be idiots and understand their role in learning how to negotiate. Allowing other people to play your role for you while expecting the benefits from the role leaves wiggle room to get yourself screwed.

>>13088358
>using thread as a dickwaving contest
confirmed poor

>>13083412
Nice moving goalposts fag

>>13088969
Agreed