ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

A 1996 magazine ad predicted the cost of living three decades down the line — it's eerily spot on

The impact of inflation has made the ad more relevant than ever before for a lot of people.
PUBLISHED OCT 15, 2024
Cover Image Source: (Photo by Ralf-Finn Hestoft/Corbis via Getty Images)
Cover Image Source: (Photo by Ralf-Finn Hestoft/Corbis via Getty Images)

Since Americans have been struggling with an inflation-ridden economy for years, an ad from 1996 has gone viral on the internet. Printed in a magazine almost three decades back, the ad read, "They say in thirty years a burger & fries could cost $16, a vacation for $12,500, and a basic car for $65,000," before adding, "No problem. You'll eat in. You won't drive. And you won't go anywhere."

Image Source: Reddit | u/AntcuFaalb
Image Source: Reddit | u/AntcuFaalb

What clearly appears to be an accurate prediction, was made by the Teachers Insurance and Annuity Association of America (TIAA) and College Retirement Equities Fund (CREF) in the ad that was meant to warn people about inflation. "Granted, sitting around the house may not be your idea of the perfect retirement. But what's your choice when inflation is slowly but surely eroding the value of your nest egg?" it continued.

Image Source: Getty Images | Jonathan Kitchen
Image Source: Getty Images | Jonathan Kitchen

A picture of the ad is now going viral for being extremely close to the reality that Americans face in today's time. User u/AntcuFaalb posted the same photo on Reddit and people were quick to comment on the ad. "Kind of true, as in, I stay home, play video games, read books, and don't eat out much. Covid era was all like "social distancing? You had me at 'social distancing.'" Avoiding people? You don't have to tell me twice!" u/Meowweredoomed commented. Another comment by u/Furious_Georg_ read, "It's almost as if they planned it... They mapped out their greed years in advance."

How Accurate is the Ad?

The 1996 ad predicted a burger and fries would cost $16 in 2026, and while the cost of a burger and fries combo varies from location to location, the prediction is pretty bang on. According to USA Today, Five Guys recently hiked their prices, and now a bacon cheeseburger costs $12.99, while the same meal in New York will cost around $13.09. These prices are steeper in Los Angeles where it will cost you around $14.39 for a burger and fries. In March 2024 someone posted a receipt from Five Guys showing that a bacon cheeseburger, a regular soda, and a small order of fries cost $24.10, which blew many people's minds. 



 

Prices for new cars also vary however, the cost of an average car is above $48,000 and there aren't many options below that. Meanwhile, many SUVs and trucks are often priced above $65,000. For example, the 2024 Sequoia has an MSRP of $73,000 which is $8,000 more than the estimate featured in the ad. According to Bankrate, the average cost of a one-week-long vacation in the U.S. is around $1,984 and the amount varies depending on the number of people going on the trip. According to these reports, Americans are currently spending a lot of their disposable income on food compared to what they were spending in the last decade. With simple meals costing so much and cars becoming unaffordable for many, the ad has become more relevant than ever before.

MORE ON MARKET REALIST
Many believe that the cost of a college degree is a debt they'd want to bear for years to come.
13 hours ago
Tim Wu, a Columbia Law School professor, says companies are trying to find power over people.
14 hours ago
These young Americans are often condemned for their trading habits, but there is logic to it.
14 hours ago
This adds another chapter to the seemingly endless product recalls this year has seen so far.
16 hours ago
The new format added an element of unpredictability, which might not have been present earlier.
18 hours ago
There was no official announcement or statement by the company about the move.
3 days ago
He also cautioned that investors are ill-prepared for the challenges that lie ahead as the AI cycle enters a "more dangerous phase."
3 days ago
The price point of these passes may come as a surprise to some as prices of necessities are rising.
3 days ago
The contestant did his best but was not able to get the correct answer in his ten seconds.
3 days ago
He tore the President apart in a video on social media, making his disapproval known.
3 days ago
The faulty products could lead to serious harm and may even result in death in the worst case.
3 days ago
The report paints a picture of how the future of work may look like.
4 days ago
Some of the largest Fortune 500 companies across sectors have announced job cuts this year.
4 days ago
The rise in AI stocks has been triggered by remarks made by Fed officials indicating a greater chance of a rate decrease next month, he warned.
4 days ago
The Iceberg Index suggests AI could have a $1.2 trillion impact in wage value.
4 days ago
The experts addressed that after 11 months in office, Trump is seen as accountable for the economy and inflation rates.
5 days ago
According to Wright, the growth in property prices will be "flat" by year's end, with a continuing slowdown already apparent.
5 days ago
The matter of healthcare has become a part of the wider affordability issue Americans face today.
6 days ago
This was perhaps one of the rarest instances in the show's long and storied history.
6 days ago
While share prices are down, there are a lot of things that one needs to consider before investing
6 days ago