A new national affordability study is reframing a scenario that plays out daily across Long Island kitchen tables: Why does a paycheck buy less house, car, and college than it once did?
Research released by InvestorsObserver found that while the dollar price of a home, auto, and four years at Harvard has surged since 1910, the same bundle actually costs 42 percent less when measured in gold.
A hundred years ago, the combined price tag for these purchases was $5,350. By 2025, it reached $712,500–a 13,218 percent increase. But priced in gold, the cost fell from 283 ounces to 164 ounces.
For Long Island families facing median home prices well above the national average, the findings add a new layer to the affordability debate. Measured in gold, a median American home required 206 ounces in 1910 and peaked at 639 ounces in 1970. In 2025, it stands at 97 ounces — about half the 1910 level and near historic lows.
“The home didn’t get cheaper to build. Gold just reveals how much the currency has been devalued,” said Sam Bourgi, senior analyst at InvestorsObserver.
Cars show a similar pattern. In 1970, a popular model cost 86 ounces of gold. In 2025, a Ford F-Series costs about eight ounces, tied for the cheapest level on record in gold terms.
College tells a different story. Four years at Harvard University cost 32 ounces of gold in 1910 and 59 ounces today, nearly double in gold terms over 115 years.
The study argues the generational divide may be misplaced. The sharper split, researchers say, is between households holding appreciating assets and those holding cash in a currency that steadily loses purchasing power. The bottom line: There are better investments than the U.S. dollar.