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RE: Backpacking in USA is not really a thing
as someone who has backpacked quite a lot around Asia and live in the US for 27 years I can attest to a great deal of what you wrote there being absolutely true. I do, however, have a Thai friend who recently found a hostel in Brooklyn that he got a bed in for $20 a night. I was really surprised to hear that this was even possible.
$20 a night in NYC? Well that is pretty awesome. I would never have guessed that was possible. Did your friend mention what the place was like?