The Gen Z Paradox

Is caution a character trait or a rational response?

Cozy Towels
Jennifer Ai, Abigail Park, Tiffany Yeung

Two stories about Gen Z

The “sensible” generation

  • Drinks less
  • Has less sex
  • Takes fewer traditional risks

The economically anxious generation

  • Stagnant wages
  • High graduate unemployment
  • A degree that promises less

Are these two stories connected?

Economic pressure on young workers

Median bachelor’s wage: $58K → $60K (1990–2025, inflation-adjusted)

Risk-taking is also lower

NYC student alcohol use: 40% → under 20%

What the data suggests

  • Economic uncertainty rose for young workers
  • Risk-taking fell in parallel
  • Limitation: our behavioral data focuses on NYC only, while economic data is national, so the comparison is suggestive, not definitive

The Gen Z paradox may not be a paradox at all.

A generation facing stagnant wages and a degree that promises less may simply be responding to the world it is part of.

Thank you!

Any questions?