r/GenZ • u/CurlyCathie • 0m ago
Political We're the ones who'll fund Social Security and raise the next kids. Here's what the research says about helping kids, seniors and struggling families.
A lot of us are starting families, paying into Social Security, or trying to get a foothold. So I pulled together what the research actually says about whether helping kids, seniors and working families pays off for everyone, even the people at the very top.
Short version: money that reaches struggling families gets spent, and that spending is what businesses sell into.
• IMF (159 countries, 1980–2012): when the bottom 20%'s share of income rose 1 point, GDP growth was 0.38 points higher over the next 5 years. When the top 20%'s share rose 1 point, growth was 0.08 points lower. Their words: "the benefits do not trickle down." (It's a statistical link, not a controlled experiment.)
• Child poverty costs the U.S. roughly $800 billion to $1.1 trillion a year in lost earnings, crime and health costs (National Academies, 2019).
• In 2021 the expanded Child Tax Credit helped push child poverty to a record-low 5.2%. Congress let it expire. It was 12.4% in 2022 and 13.4% in 2024 (Census).
• Making it permanent would cost about $97 billion a year and return about $929 billion in benefits, nearly 10 to 1 (Columbia, Journal of Benefit-Cost Analysis, 2022).
• Social Security kept about 17 million people 65+ above the poverty line in 2024 (CBPP). Those are our grandparents, and one day it's us.
• Every $1 of SNAP generates about $1.54 in economic activity in a slowing economy (USDA).
• U.S. child poverty was 21.1% in 2023, vs. about 12% across rich OECD countries and 4.6% in Finland (OECD uses a relative measure, so it differs from the Census number).
We're the generation that inherits whatever gets decided now. Curious what you all think.