<i>Millennials overall, therefore, are not increasingly living in urban neighborhoods</i><p>I've seen articles that argue this, but I think the bigger issue is that Millenials <i>can't</i>, because it's too expensive: <a href="http://www.amazon.com/Rent-Too-Damn-High-Matters-ebook/dp/B0078XGJXO" rel="nofollow">http://www.amazon.com/Rent-Too-Damn-High-Matters-ebook/dp/B0...</a> and municipalities simply won't let anyone build housing that millenials can't afford.<p>Except... for exurbs, which don't have existing veto players. Consider: <a href="http://marginalrevolution.com/marginalrevolution/2015/03/houston-v-california.html" rel="nofollow">http://marginalrevolution.com/marginalrevolution/2015/03/hou...</a> :<p><i>Unlike most other big cities in America, Houston has no zoning code, so it is quick to respond to demand for housing and office space. Last year authorities in the Houston metropolitan area, with a population of 6.2m, issued permits to build 64,000 homes. The entire state of California, with a population of 39m, issued just 83,000.</i><p>People move to Houston and exurbs because they can. They don't move to say New York and San Francisco and Seattle because those cities are so expensive, regardless of other preferences.