Andrew Schmidt
Prin Of Macroeconomics
Jaren Seid
September 7, 2025
Lived Economy Reflection
In this Economy, six figures ain’t what it used to be
In the story about Hanan Tamari and Kareem Addassi’s experience with the
American economy their situation has shown the ways that inflation, housing prices, and
debt dictate the financial outlook that people have. Although their household income is
$200,000, which is a very high wage when compared to the U.S. median, they still feel that
their money is stretched thin. In California the rising home costs and student loan debt
makes this couple feel like all the progress they have made so far has been wiped out.
What was surprising to me the most is that Addassi said that the American dream needed
to be changed from buying a house and retiring comfortably, to being able to shop without
worrying about the total price. This shift shows how macroeconomic forces such as
inflation have been lowering people's bar for what success should be in America.
This story was relatable to me as I've seen similar frustration of people I know who,
like Hana and Kareem, are feeling the pressure of the economy even with high paying jobs.
Some of my relatives often talk about the grocerie prices and how it feels increasingly
difficult to get ahead when compared to a couple years ago. There are always trades that I
see people making, like choosing cheaper unhealthy food to cut back on spending. Storys
like this are what make me hesitant to go into college as student loan debt can add allot of
financial pressure to people. It would be frustrating if the financial return on work and
education doesn't match the expectations.
Reading this story made the concepts that we have learned in class feel much more
real. Inflation and housing market are things that I rarely think about but this story gives
those issues real meaning. I think that this really helped me see how high earners are
feeling the pressure and made me think about how much worse it is for people you earn
less than the U.S. median income.