In the lead-up to the recent Presidential election, there was a lot of talk about what the American people are worried about. The Republicans, traditionally seen as the party of big business, emphasized pocketbook issues for working families while the Democrats drew heavily on so-called social issues.
Obviously, both are right depending on who you talk to. But a recent report firms up the argument a bit by identifying the big fears of wealthy households, those with assets of $500,000 to $5 million.
They are:
- climate change,
- cybersecurity, and
- collectibles, meaning theft and damage to their art work, jewelry, etc.
The worried wealthy
The concerns of the well-off come from Chubb’s new “2024 Wealth Report: Cultivating Resilience in a Changing Landscapes,” which indicates 90 percent of respondents cited climate change as a leading concern, 92% fear liability lawsuits, 81% worry about theft of collectibles, as well as gaps of insurance in key areas.
Despite their concerns, 63% of the wealthy see opportunities to build wealth now, up from last year’s lower optimism. And, interestingly, despite having high assets, 61% of respondents don’t consider themselves wealthy.
The worried poor
The working poor, those who are employed but still below the poverty line, have a different set of concerns. Their top three are:
- financial insecurity,
- housing instability, and
- food insecurity.
In other words, they're afraid of running out of money, not being able to afford decent housing and not being able to feed their families.
Low wages, lack of savings and high debt levels put these families and individuals under chronic financial strain. Because affordable housing is scarce, rental costs continue to climb, raising fears of eviction and substandard living conditions. Many also struggle to afford healthy meals or even skip meals to stretch their budgets.
These concerns are extracted from studies conducted by academic journals like The Journal of Economic Perspectives or Social Problems, the Pew Research Center and government data.
One area of agreement
Perhaps surprisingly, both rich and poor alike are upbeat on the nation's economy. More than a quarter (28%) in a recent Pew report rate economic conditions as excellent or good, a 9 percentage point increase from last April.
What do all these facts and figures mean? Maybe not much, except that when it comes to having things to worry about, both the rich and poor have an ample supply.
However, while both sides can manage to keep themselves awake worrying about things, the poor have a wide selection. Besides the three concerns above, here are some others from recent studies and reports:
Healthcare Challenges
Lack of Insurance: Many jobs held by the working poor do not offer health benefits.
High Medical Costs: Unexpected medical expenses can lead to significant debt.
Delayed Care: Fear of costs often causes delays in seeking treatment, worsening health outcomes.
Childcare and Education
Unaffordable Childcare: Reliable, quality childcare is often out of reach, limiting work opportunities.
Education Barriers: Costs of continuing education or training for better jobs are prohibitive, trapping individuals in low-paying roles.
Transportation Issues
Cost of Transportation: Car maintenance, gas, or public transit fees can be burdensome.
Limited Access: Poor transportation options can make commuting to work or accessing resources difficult.
Job Insecurity
Unstable Employment: Many work part-time or temporary jobs with no job security or benefits.
Lack of Mobility: Few opportunities for advancement or skill-building to escape low-paying roles.
Mental and Emotional Stress
Chronic Stress: Constant worry about meeting basic needs takes a toll on mental health.
Social Stigma: Facing judgment for being poor despite working hard can lead to feelings of shame and isolation.
Systemic Barriers
Policy Gaps: Insufficient minimum wage laws, inadequate safety nets, and limited access to public assistance programs exacerbate hardships.
Discrimination: Racial, gender, and systemic biases often create additional obstacles.
Limited Access to Support Systems
Insufficient Public Assistance: Programs like food stamps, Medicaid, or housing assistance may be hard to qualify for or do not fully meet needs.
Overburdened Charities: Reliance on nonprofits can be challenging as demand often exceeds resources.
Can one party succeed in addressing both the concerns of both the wealthy and the working poor, not to mention the broad middle class that's somewhat in-between? With a firm grip on the White House, Congress and the Supreme Court, the Republicans plan to try.
Time, as they say, will tell.