Generation Y -- aka Millennials, aka people between 18 and 34 -- don't care about driving nearly as much as the generations before them, according to a new report from Zipcar. There are many reasons why, but they boil down to less money and more options.

The less-money part is pretty straightforward. Cars are expensive -- after houses, they're the second biggest spending category among American families. But one-quarter of young people have moved back home during the recession. Their unemployment rate is significantly higher than the general population, and those who have jobs are earning less than they were just four years ago, adjusted for inflation. They're not making nearly enough money to keep up with their parents' driving habits.



On top of that, young people enjoy more options in two distinct categories -- transportation and leisure -- that are competing with our car time and car money.



First, transportation. The housing bust has slowed development of the suburbs in many cities, particularly the northeast, where metro centers are now growing faster than the 'burbs. As more young people avoid expensive gas by moving to urban and urban-lite areas, they'll drive less and subway/bus more. Where your driving miles are lower, car-sharing companies like Zipcar are more attractive as cheaper alternatives to an owned vehicle.

