The US economy is facing a crisis of stagnation, with many households feeling unable to buy new homes, take new jobs, or move to new cities. High borrowing costs, dwindling job openings, and growing economic and political uncertainty are holding back consumer spending and hiring. Americans are feeling paralyzed by the prospect of recession, inflation, and rising interest rates.
Monthly home sales have hit a record low, with Americans not leaving their jobs or getting new ones. The number of jobs added has stalled considerably this year, and Census data shows that people are moving less than they have in decades. Recent graduates and the unemployed are particularly affected by the lack of opportunities.
Economists say job-switching is crucial for an economy’s health, but many people can’t progress in their careers due to stagnant wages and limited job prospects. The lack of affordable housing and available jobs is contributing to broader economic immobility.
The White House claims that the Trump administration’s policies will lead to plentiful jobs and low interest rates, but many people remain cautious due to concerns over tariffs and immigration crackdowns. Americans are putting life decisions on hold, waiting for the economy to stabilize before making major moves.
This stagnation has real-life consequences, such as Charles, a 64-year-old IT contractor who lost his job and is struggling to find new employment despite applying for over 150 positions. His family is worried about losing their home due to rising mortgage rates and decreased affordability.
Source: https://www.washingtonpost.com/business/2025/09/21/stuck-economy-jobs-market-housing