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Not Working, Out-of-School Young Adults in the U.S. by Race and Geography
FRB of St. Louis
2024.08.19
The 2024 State of Economic Equity discussed some of the economic challenges that exist for young adults (defined as those ages 18 to 24) in the U.S. The report described data showing that more than a third of young adults reported having no salary or wages. Many of these young adults belong to a group known as “disconnected youth,” meaning they are neither in school nor working.1 Even when excluding the summer months of June through August, 14.0% of young adults nationwide were disconnected in 2020, a record high. Excluding the summer months, the rate fell slightly to 13.3% in 2022.

By not having a job or receiving further schooling, young adults miss out on income- and wealth-building opportunities. As a result, they could face long-term economic disadvantages that, in aggregate, could contribute to a less productive workforce and thus slower economic growth. This blog post examines the prevalence of disconnected young adults in the U.S. by disaggregating data by geography and race and ethnicity.