For the past thirty years or so the left has invented a narrative that there are two Americas. A group of very super-rich people (the one percenters) who have prospered over the past several decades, and everyone else who has gotten poorer. It’s a fairy tale narrative because almost all Americans have seen financial progress. The median household income adjusted for inflation rose by more than 40% since 1984.
Prosperity isn’t an “us versus them” zero-sum game. A rising tide really does lift all boats.
But there really are Two Americas today. First, there are the cultural and over-educated snobs – the kind of people who religiously read the New York Times, drive EVs, wear Harvard or Yale sweaters, and have never even heard of NASCAR or eaten at Popeyes or ridden a John Deere tractor.
And then there is normal main street America. The snobs thumb their collective noses at the unrefined working-class Americans. The elites believe they are intellectually, culturally, and morally superior to the working class and rural America. You won’t see too many elites at a Trump rally with 30,000 people.
A group I helped found, the Committee to Unleash Prosperity, just published a study entitled “Them Vs. U.S.” examining how America’s cultural elites (defined as at least one postgraduate degree, $150,000+ annual income, high-density urban residence, and attended an Ivy League school) are hopelessly out of touch with ordinary Americans. Pollster Scott Rasmussen did the research.
Here are some of the key jaw-dropping revelations from the survey:
Financial Well-being: Nearly three-quarters of the elites surveyed, believe they are better off now financially than they were when Joe Biden entered the White House. Less than 20% of ordinary Americans feel the same way.
Individual Freedom: Elites are three times more likely than all Americans to say there is too much individual freedom in the country. Astonishingly, almost half of the elites and almost six-of-ten ivy leaguers say there is too much freedom.
Climate Change: An astonishing 72% of the Elites – including 81% of the Elites who graduated from the top universities – favor banning gas cars. And majorities of elites would ban gas stoves, non-essential air travel, SUVs, and private air conditioning. That means no air travel with the kids to Disney World.
Education: Most elites think that teachers unions and school administrators should control the agenda of schools. Most mainstream Americans think that parents should make these decisions.
Oh, and about three-quarters of these cultural elites are Biden supporters. Surprised?
The Grand Canyon-sized divide between the elites in America and ordinary Americans is so profound that it is as if they live in two different countries. Silicon Valley, Manhattan, and Washington, D.C. have become bubbles that have lost contact with everyday Americans. This explains why the political class – which is a big part of the elite group – is confused by poll numbers showing that voters are feeling financially stressed out. The elites are doing fine, so they believe that everyone is prospering. I suspect that most don’t want radical change in the public schools because their kids attend blue-chip private schools. They are fine with abolishing SUVs because in big cities Americans generally don’t drive those cars – if they drive cars at all.
Crime, illegal immigration, inflation, fentanyl, and factory closings aren’t keeping the elite up at night because in their cocoons they don’t encounter these problems on a daily basis the way so many Americans do today. Not too many main street Americans are losing sleep about climate change or LGBTQ issues.
The elites in America tend to work in the “talking professions” – university professors, journalists, lawyers, actors, and lobbyists. They keep talking and normal Americans are more than ever not listening to them.
Stephen Moore is a contributor to The Daily Caller News Foundation, co-founder of the Committee to Unleash Prosperity, and chief economist with FreedomWorks.
In boasting about Bidenomics two weeks ago in Milwaukee, President Joe Biden declared that his policies are “restoring the American dream.” Then he went into his creepy whispering mode and assured us “it’s working.”
Huh?
Isn’t a big aspiration of the American dream owning a home? Biden keeps making first-time homeownership harder for young families for two reasons. One is that the overall jump in inflation and the slower increase in wages and salaries means that homes are more expensive. High home prices benefit those who already own their homes, but much of the increased value is due to general inflation, which reached a high of 9% last year and hurts everyone.
A bigger killer for first-time homebuyers has been the steady rise in mortgage rates under Biden. When he came into office, the mortgage rate was 2.9% nationally. Now it is 7.1%, thanks in no small part to the Federal Reserve’s 11 interest rate increases prompted by the $6 trillion Biden spending and borrowing spree in 2021 and 2022.
So now, according to the mortgage company Redfin, just the increase in interest rates on a 30-year mortgage from 5% to 7% means that a middle-income family that could once afford a median-value home of $500,000 can only afford a home worth $429,000. Great, spend more and you get less house. Or instead of a single-family home, you can only afford a three-room condo or a townhouse. If we compare the rates today versus when Donald Trump was president, the typical homebuyer can only afford a house with a price tag more than $100,000 less than three years ago.
What a deal? Maybe this is one reason the size of a new home is smaller than in the past.
Here’s another way to think about the damage done by Biden policies: If you want to buy a $500,000 home today, which is close to the median price in many desirable locations, your total interest payments will be at least $800 more per month. That means over three decades of payments totaling at least $250,000.
Of course, rents are up nearly 20% as well, so for many 20-somethings, this means sleeping in the parents’ basement.
Biden talks a lot about bridging gaps between rich and poor and blacks and whites. But the group that is most handicapped by these interest rate shocks is minorities. Black homeownership is still less than 50% for black households. The Washington Post calls this “heartbreaking,” but they blame racism, not bad government policies.
There’s one other impediment to homeownership for Generation X and millennials. Many 30- and 40-somethings are hamstrung by their existing and expanding debt. Credit card debt is now $1.03 trillion. Half of all families are expected to have problems paying off this debt each month. Delinquencies are rising, which can mean penalty rates of 20% to 25%.
So, if families can’t afford their existing debt, how will they get a bank to approve a $400,000 or more mortgage loan?
An even bigger question is how in the world can Biden call his economic policies a success?
Perhaps Biden has a secret plan to “forgive” trillions of dollars of mortgage debt, as he has already attempted to do with student loans. But that just shifts the debt burden to taxpayers — hardly a solution.
The Biden administration’s assault on homeownership isn’t just harmful to the families that are being priced out of the market. It’s bad for communities and cities around the country. When families become homeowners and set roots in a town, they are much more prone to care about not just improving their own house and maintaining the upkeep and mowing the lawn and trimming the hedges, but it gives them a stake in the schools and children in the neighborhood and the quality of the public services. In other words, homeownership gives Americans a sense of Tocquevillian civic pride.
Crime is lower, neighbors are friendlier and everyone’s property values rise when they live in a community of owners, not renters.
There is one reason to feel today’s downward spiral can be reversed. Back in 1980 when Jimmy Carter was president, mortgage rates weren’t 7%; they reached above 17%. Voters rebelled against the economic mayhem and chased Carter out of office. Ronald Reagan came into the White House, and with wiser economic fiscal policies, mortgage rates quickly fell in half and then lower still. It can happen again.
Stephen Moore is a contributor to The Daily Caller News Foundation, senior fellow at the Heritage Foundation, and chief economist at FreedomWorks. He is the co-author of the “Trumponomics: Inside the America First Plan to Revive Our Economy.”
COVID mania just won’t go away. The deadly strains of the virus have been gone for two years now, and yet the recent outbreak of a mild flu-like variant is again stoking panic on the Left.
Nearly 100 universities are requiring masks this fall.
Lionsgate movie studios in Los Angeles and Atlanta-based Morris Brown College this week stated they are reinstating not just mask mandates but social distancing measures and contact tracing.
CNN, which led the panic in 2020 and 2021 — causing manic school, restaurant and business shutdowns and vaccine mandates — recently put out a headline on its website that encouraged its readers not to go outside without a mask on. Really? The latest evidence finds this is less dangerous than a normal flu virus and tracking data suggest that the wave has already peaked.
What’s even more disturbing here is that the leftist medical community and the media aren’t renouncing their calls for mitigation strategies that were catastrophically wrong in the panic era of 2020 and 2021 — but instead calling for more of these assaults on freedom in the future.
It is one thing for well-meaning medical experts to have disagreed about how to best combat a once-in-a-half-century deadly virus. We didn’t know exactly what we were dealing with. But now we know with concrete scientific evidence that most mandates and lockdowns had a small impact on the spread of the virus and on fatalities. It turns out there was almost no difference in death rates in states with strict lockdowns and no lockdowns at all. The same is true of cross-country evidence.
Healthy children were never at risk from COVID (something we knew early on), so shutting down schools for one or two years was a sop to the teachers unions but a disaster for this generation of kids. Test scores are the worst in 30 years.
Before the pandemic, only 15% of public school students were chronically absent — more than 18 or more days a year.
Stanford University education professor Thomas Dee’s data shows an estimated 6.5 million additional students are now chronically absent. In Connecticut and Massachusetts, chronic absenteeism remains double its pre-pandemic rate.
But polls show that Democrats — even those that are highly educated — generally still support the lockdowns that were mandated. These are the same people who lecture about “following the science.” The most comprehensive study by experts at Johns Hopkins University found death rates from lockdowns were reduced by 0.1 percent. But how many people died from the isolation of lockdowns, delayed health screening from cancer, the increase in drug overdoses?
Biden’s vaccine mandates only made Americans more resistant to get pricked. They backfired.
Worst of all, Anthony Fauci, who remains a hero of the Left, recently not only refused to admit the errors of his advice but said the “lockdown was absolutely justified.”
Why does this bizarre rewrite of recent history matter? Because the fearmongering Left can’t wait to install new lockdowns every time we have a new flu virus and health scare. They’ve even started putting out feelers for occasional climate change economic shutdowns.
Those who love freedom must strenuously resist this coming tyranny.
Have you heard the outrageous story of what happened recently in Harrisburg, Pennsylvania’s capital? Gov. Josh Shapiro (D-Pa.), elected in 2022, had campaigned on school choice for tens of thousands of children, mostly minorities, who are forced to attend failing public schools in places like Philadelphia.
“It’s what I believe,” Shapiro, then state attorney general, assured voters as he ran for governor. Last month on a national Fox News broadcast, Shapiro was unequivocal in his support for school choice because “every child of God” deserves “a quality education.”
But there’s a force far more powerful in politics than Shapiro’s convictions, such as they are. And that force is the teachers unions. They put on a full-court press to stop the roughly 10,000 vouchers for the poorest kids in Pennsylvania’s worst school districts even though the state budget bill gave billions more for the public schools. It didn’t matter that this voucher program comprised less than 0.5% of state spending. The union brass commanded Democrats to vote no on even a single penny going to schools that work.
In the end, Shapiro did a full flip-flop. He vetoed his own promise. He might as well have declared that black lives don’t matter.
Shapiro has presidential ambitions — so he figures he needs the teachers unions behind him. But if he can’t face down Randi Weingarten, how is he ever going to stand up to bullies like China’s President Xi Jinping or Russia’s President Vladimir Putin?
This story isn’t just about Josh Shapiro in Pennsylvania. In North Carolina, Democratic Gov. Roy Cooper declared a state of emergency in the Tar Heel State because the legislature wanted to fund vouchers for kids to go to the best schools possible. Egads!
In Arizona, Democratic Gov. Katie Hobbs wants to defund a school choice program that is already serving tens of thousands of kids, most of whom are Hispanic, with proven results of better performance and higher test scores. Why would she kill a program that is working? The teachers unions want the money and the kids under their control.
In New York City’s Harlem neighborhood, charter schools are flourishing. They are alternatives to public schools but are still regulated by the state. They are oversubscribed because parents want to choose the best school for their kids. Now, the Democrats want to put a cap on the charter schools because the teachers unions want to warehouse the kids in public schools where a majority of the kids can’t read or do math at grade-level proficiency. In other words, many of the public schools are worse than mediocre. And it’s not for lack of money. New York spends more than $20,000 per child in public schools.
Did I mention that in nearly every one of these cases across the country, the Democrats blocking private and Catholic school options went to private schools themselves? Or they send their kids to private schools. But poor black kids aren’t allowed that same opportunity? These are hypocrites with a capital H.
There’s a cruel historic irony here. Sixty years ago this summer, Alabama Gov. George Wallace stood before the doors of schools to prevent black children from attending the schools with white children. He was trying to preserve the stain of segregation.
Today, Democrats are employing the same tactic to keep minority kids from attending excellent schools. Why? They say that school choice will hurt public schools or cause more segregation.
Wrong on both counts. Monopolies are always bad for consumers and competition improves service. Education choice requires public schools to compete. Would you get good and friendly service if there were only one restaurant in town?
Instead of draining public schools of money, studies show that per-pupil funding rises when some kids take advantage of vouchers to attend alternative schools. Charter and Catholic schools tend to be, in most cases, more racially diverse than inner-city public schools.
I’m a parent of five boys, so I know that each of my kids has different skills, interests, behavior issues and attention spans. To warehouse them all in the same schoolroom is madness. Schools should be tailored toward the kids and serve their interests — not those of the $1 trillion a year public-school-industrial complex.
More importantly, as an economist, my biggest worry about America’s future is what happens when kids are graduating without being able to read their diplomas and with no useful skills. There are hundreds of schools around the country where not a single child can pass a basic math or reading test.
That’s an economic, civil rights and national security tragedy. Shame on Democratic leaders, and some Republicans, too, for putting their own political ambitions ahead of our nation’s children.
Stephen Moore is a contributor to The Daily Caller News Foundation, senior fellow at the Heritage Foundation, and a co-founder of the Committee to Unleash Prosperity. His latest book is “Govzilla: How the Relentless Growth of Government Is Devouring Our Economy.”
As nearly every standardized test is showing, our schools are doing an abysmal job teaching kids how to read or do math. In some cases, kids graduating from high school can barely read their diplomas.
But the schools are wildly succeeding with their climate change indoctrination program. When I speak to kids on high school and college campuses and ask what the greatest threat is to their generation, the answer isn’t China’s aggression. It isn’t a drug abuse problem that is becoming the leading killer of our children. It isn’t the failed schools or the corrupt government or the more routine violations of freedom of speech. It isn’t the $32 trillion national debt soon headed to $50 trillion. (I always remind the kids, I won’t be paying for this Mount Everest-sized debt burden. YOU will.)
No, they almost all raise their hands and moan that they are most worried about global warming or “climate change.” We are raising a generation with millions of Greta Thunbergs. A Daily Telegraph poll found that more than half of teenagers surveyed believe that the world “may end in their lifetime” because of climate change. No one has ever told them that the climate has been changing for as long as the planet has existed. They’ve apparently never heard of the ice ages. The earth has gone through centuries of warming — and that was before air conditioning, which the climate czars want to take away from us to combat warming. Figure that one out.
I’m not here to argue about “the science” of global warming. What I do know is it’s only “settled science” because anyone who dares question the “experts” is written off as crazy or a quack. Meanwhile, the people who warned us about “the population bomb,” nuclear winter, mass starvation, running out of energy, global cooling and a future so polluted that everyone would have to wear gas masks in cities, are telling us to just trust them as they are busy at work erecting a multitrillion-dollar climate change industrial complex that revolves around our planetary savior — the windmill.
But scaring the bejesus out of our kids to score political points is a reprehensible practice. Our school kids are being terrorized with misinformation. This, in turn, is leading to all sorts of maladies, including a rise in teen depression, suicide, lower productivity and drug addiction.
Worst of all, we are seeing the opposite of a population bomb. We are experiencing one of the most severe birth dearths in American history. The birth rate is plummeting and no surprise. Who wants to bring kids into a world that will be uninhabitable in 50 years?
Psychologists are attributing these dysfunctions to a new syndrome called “eco-anxiety.” It’s a fear that Mother Earth is going to punish us in a brutal way — and very soon.
The irony of all this is that today’s children and teens are inheriting a living standard, a cleaner planet, and a level of goods and services and technologies and medical care that is far superior to anything anyone in history — even the richest kings and queens — had access to even 100 years ago. If kids think climate change is worrisome, they should try dealing with the bubonic plague, which killed one-third of Europe’s population, or polio or tuberculosis — or fending off barbarians or working 60 hours a week in a coal mine.
If my parents were part of the “greatest generation,” living through two world wars and a great depression, then this must be the psychotic generation. Are they to blame? No, we — their parents — are. We are the ones who have passively sat by as the Left turned our kids into neurotic Green New Dealers. Death to the machine. Turn the lights out. No more cars. No more flush toilets or washing machines. What’s next to save the planet? Euthanasia?
That’s what happens when you teach your children that they aren’t inheriting the earth, but a fiery hell.
Stephen Moore is a contributor to The Daily Caller News Foundation, senior fellow at the Heritage Foundation, and a co-founder of the Committee to Unleash Prosperity. His latest book is “Govzilla: How the Relentless Growth of Government Is Devouring Our Economy.”
