Economics & Sociology

ISSN: 2071-789X eISSN: 2306-3459 DOI: 10.14254/2071-789X
Index PUBMS: f5512f57-a601-11e7-8f0e-080027f4daa0
Article information
Title: Confident millennials: Differences in consumer confidence across five generations
Issue: Vol. 12, No 4, 2019
Published date: 12-2019 (print) / 12-2019 (online)
Journal: Economics & Sociology
ISSN: 2071-789X, eISSN: 2306-3459
Authors: Kristoffer Persson
Department of Economics, School of Economics and Management, Lund University, Lund, Sweden
Keywords: generations, socio-economic environment, economic behavior, economic change, Scandinavia
DOI: 10.14254/2071-789X.2019/12-4/16
Index PUBMS: d05cac6a-3716-11ea-b360-fa163e0fa1a0
Language: English
Pages: 257-277 (21)
JEL classification: D84, Z13
Website: https://www.economics-sociology.eu/?718,en_confident-millennials-differences-in-consumer-confidence-across-five-generations
Licenses:
Funding from the Jan Wallander and Tom Hedelius Foundation is gratefully acknowledged.
Abstract

This paper investigates if individuals experiencing different socio-economic environments during their formative years have different expectations about future economic conditions. We use Swedish survey data to analyse differences in expectations across five generations of consumers by testing if they have different levels of confidence. The paper focuses on all the different generations of the 1900s as defined by Howe and Strauss (1997, 2000). In our econometric model, we use the Millennial Generation as a baseline, as this generation is about to make up the largest fraction of consumers in the economy. Contrary to the theory developed by the literature on generations, such as Howe and Strauss, our results show that confidence increases gradually across generations. We find that the Millennials are more confident than generations born in the first half of the 1900s, but similar in confidence to other generations born in the second half of the 1900s.

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