4-H Update October 3, 2000 Dr. Joyce Cavanagh Consumer and Family Economics Specialist

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Optimism
– Grown up in prosperous economic times – Confident consumers – spending an average
$82 per week
(Teenage Research Unlimited)

•
Techno Savvy
– More comfortable with technology than
other age groups
– First toys involved computer chips or
keyboards
– Household ‘techies’
(Teenage Research Unlimited)

•
Marketing Savvy
– Aware they are being targeted as a market – Unaccepting of disingenuous or pandering
messages
– Want to be seen as and accepted for being
mature, young adults
(Teenage Research Unlimited)

• •
Diversity
– Pride themselves on ability to move between
peer groups and become friends with many types of teens Customization
– Desire the ability to make mass marketed
products and services personalized
– One size does not fit all
(Teenage Research Unlimited)

•
Adept at Multi-tasking
– Seem to juggle many different things all at
once
– Access info from variety of media
(Teenage Research Unlimited)

•
12 to 19 year old population continues to rise
• •
In 1999, 31.3 million U.S. teens By 2010, projected to reach 35 million
(Teenage Research Unlimited, Zagorsky – Ohio State University)

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Children and teens earn, save, spend and borrow billions of dollars a year
•
In 1999, teens spent $105 billion of their own money and $48 billion of family money
•
Making more purchase decisions and at a younger age than previous generations
(Teenage Research Unlimited)

• • • • • •
53% parents on an as needed basis 46% odd jobs 46% gifts 32% part-time jobs 26% regular allowance 13% full-time jobs
(Teenage Research Unlimited)

•
National Longitudinal Survey of Youth
– Median amount of allowance is $50/week – 50% of kids 12 – 18 report receiving an
allowance and regular handouts
– Amount increases as household income
increases
• •
$30-40k $21/week > $100k $175/week

•
1999 Youth and Money Survey
– Last summer • • • • •
41% worked full-time (35+ hrs) 22% 20-35 hrs.
18% 5-20 hrs.
13% < 5 hrs.
6% did not work
(American Savings Education Council)

•
Earnings
– 9% $0 – 36% <$2500 – 26% $2500 – 4999 – 24% $5000+
(American Savings Education Council)

• • • •
53% report making a monthly budget 49% report saving some of the money they receive 38% required by parents to save some Top reasons for saving
– Education – Car-related expenses
(1999 Youth and Money Survey- American Savings Education Council)

•
Top items and activities students are responsible for paying themselves
– Entertainment related – Clothing
82% 58%
– Car or related expenses – Vacations/trips w/friends – School needs
50% 45% 31%
(1999 Youth and Money Survey – American Savings Education Council)

• • • •
Parents are wealthier – trickle down effect Time strapped parents using $ as a substitute for time Guilt Today’s kids have more ‘needs’
(Teenage Research Unlimited, Zandl Group)

•
Financial Literacy declining
– High school seniors in 2000 scored 51.9% on
personal finance survey
– Decrease from 57.3% in 1997
(Jumpstart Coalition)

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HES Resource Library
– outreach.missouri.edu/hesresource/resdb – Variety of resources, curriculums, videos,
books, etc. for checkout
– Contact Terry Gatewood at
gatewoodm@missouri.edu

• •
Consumer Critter Crew
– 9 to 11 year olds – 4-H Curriculum (Texas)
High School Financial Planning Program
– 11
th and 12 th grades
– Basic financial management skills

•
Outreach and Extension
– Outreach.missouri.edu/ceupdate •
Jumpstart Coalition
–
www.jumpstartcoalition.org
•
National Endowment for Financial Education
–
www.nefe.org
– www.nefe.org/amexeconfund/index.html

• National Institute for Consumer Education – www.nice.emich.edu
• University of Missouri-St. Louis, Center for Entrepreneurship and Economic Education – www.umsl.edu/~econed – www.wisepockets.com

• American Savings Education Council www.asec.org
• U.S. Treasury www.treas.gov/kids/