U.S. Geographic Mobility Plummets by Half Since 1950s, Trapping Americans in Place

The long-held American ideal of upward mobility through relocation is facing a stark reality, with the rate of geographic movement across the United States having fallen by approximately 50% since the 1950s. This significant decline, highlighted by a recent tweet from Danny Crichton, suggests a growing sense of being "stuck" among Americans, impacting economic opportunity and social dynamics. The annual mover rate, which once stood at around 20%, is now consistently below 10%, a trend observed across all age groups.

This decades-long decrease in mobility is attributed to a complex interplay of economic, demographic, and regulatory factors. A primary driver is the escalating cost of housing, particularly in economically vibrant regions. Research indicates that rising housing prices, coupled with down payment requirements and amortization rules, create a "spatial lock-in" effect, making it financially challenging for individuals, especially those with lower incomes, to relocate to areas with better job prospects.

Beyond housing, the rise of dual-earner households also plays a crucial role. As noted by economists, couples with similar earnings are less likely to move, as a relocation often means one partner sacrificing their career or a significant income source. Additionally, the aging U.S. population contributes to the trend, as older individuals generally exhibit lower mobility rates. The convergence of regional wage rates has also lessened the financial incentive to move for higher pay.

Other barriers further impede movement. Occupational licensing requirements, which vary significantly by state, can make it difficult for professionals to transfer their skills across state lines without costly and time-consuming re-certification. Similarly, public pensions and benefits that are not easily portable can discourage individuals from seeking opportunities in new locations.

The implications of this reduced mobility are far-reaching. A less mobile workforce can hinder the efficient allocation of labor, potentially slowing economic growth and exacerbating regional disparities. When workers cannot easily move to where jobs are plentiful, unemployment may persist in some areas while labor shortages exist in others. As Danny Crichton stated in his tweet, "Why do Americans feel so stuck? They literally can no longer change locations like they used to." This sentiment underscores a fundamental shift in the American experience, where the freedom to seek new horizons is increasingly constrained by economic realities and systemic barriers.