Is a New "New Deal" About to Wipe Out the Old Political Order?

The commons, unions, and a livable wage built the first mass middle class. Now younger voters want to reboot that machine at full throttle…

Dec 22, 2025

The media is freaking out over a new Rasmussen poll that found:

“A majority of voters under 40 want a democratic socialist to win the White House in the next presidential election.
“… 51% of Likely U.S. Voters ages 18 to 39 would like to see a democratic socialist candidate win the 2028 presidential election. Thirty-six percent (36%) don’t want a democratic socialist to win in 2028, while 17% are not sure. …
“Among the youngest cohort (ages 18-24) of voters, 57% want a democratic socialist to win the next presidential election…
“Among those who voted for Kamala Harris in last year’s presidential election, 78% would like to see a democratic socialist candidate win the 2028 presidential election…” (emphasis added)

I was on Ali Velshi’s MSNOW show yesterday morning discussing this, along with Michael Green who recently wrote a thought-provoking article about how the official poverty line in America is completely out-of-date and out of touch with the needs of most Americans. I shared a few statistics from my recent book The Hidden History of the American Dream: the Demise of the Middle Class and How to Rescue Our Future:

— When, in 1957, my dad bought the house I grew up in, the average cost of a single-family home in America was about 2.2 times the average annual wage. Today it’s more than ten times the average wage.
— When my Boomer generation was the same age as today’s Millennials, we owned a bit over 22% of the nation’s wealth; Millennials today control only about 4% of the country’s wealth (and it’s the same for Zoomers).
— From the 1930s right up until the Reagan Revolution, it was possible for seniors to live comfortably on Social Security alone; Reagan undid that with his “reforms” so today that’s nearly impossible.
— When I ran my first seriously successful business in the early 1970s, it cost me around $35/month for comprehensive health insurance for each of my 18 employees; at that time hospitals and health insurance companies were required by Michigan law (where I lived; most other states were identical) to be run as non-profits. Today, health insurance can be as much as one-fifth of a company’s payroll expense.
— When Reagan came into office in 1981, a single wage earner could support a family with a middle-class lifestyle, and fully 65% of us were in the middle class (up from around 20% in the 1930s). Today, after 44 years of Reaganomics, it takes two full-time people to achieve the same status, which triggers huge childcare expenses, which is part of why only 43% of us are middle class .

FDR’s great — and successful — Democratic Socialist experiment following the Republican Great Depression was to drive the economy from the bottom up, reversing the “Horse and Sparrow” trickle-down economics and deregulation of the Harding, Coolidge, and Hoover administrations that provoked the Great Crash.

He did that by:

— Expanding the notion of the commons — the stuff we all collectively own and is administered or funded and regulated by government — to include free public education nationwide (and cheap college), old-age retirement (Social Security), and public power and transportation systems (Tennessee Valley Authority, federal support for local transit, roads and highways).
— Legalizing unions, an effort that was so successful that when Reagan came into office fully a third of us had good union jobs and, because they set the local wage floors, two-thirds of Americans had the equivalent of a union wage and benefit package.
— Establishing a minimum wage on which a single worker could raise a family of three and still stay above the federal poverty level (today’s federal minimum wage is $7.25: adjusted with the Consumer Price Index, that $1.60 minimum wage in 1968 is equivalent to about $14.90 an hour in 2025 dollars).

In the years since, we’ve continued to expand the commons by establishing national single-payer healthcare systems for low-income people (Medicaid) and retired people (Medicare), both of which came out of LBJ’s Democratic Socialist program that he called The Great Society.

Meanwhile, Republicans and a few neoliberal Democrats have pushed back against these Democratic Socialist programs that made the American middle class the first in the history of the world to exceed more than half the population.

— Reagan’s war on unions has cut our union membership down to well under 10% in the private sector.
— His gutting federal funding for education has exploded college costs to the point where three generations are saddled with over $2 trillion in debt that can’t be discharged by bankruptcy.
— Reagan’s tax cuts for the rich (from 74% down to 27%) and corporations tripled the national debt (from $800 billion to $2.4 trillion) just in his eight years; since then the four GW Bush and Trump tax cuts have, when combined with Reagan’s, produced a $38 trillion national debt so big that we now spend more on servicing their debt than we do on our defense budget or would on administering a national healthcare system.

Back in the 1940s, after the incredible success of the New Deal, President Roosevelt wanted to further expand the commons by expanding the scope of his Democratic Socialist programs. Just before he died, he proposed a “Second Bill of Rights” that included:

— “The right to a useful and remunerative job in the nation’s industries, shops, farms, or mines. (Unionization and an above-poverty-level minimum wage.)
— “The right to earn enough to provide adequate food, clothing, and recreation. (Ditto and government as the employer of last resort.)
— “The right of every farmer to raise and sell products at a return that gives his family a decent living. (Don’t manipulate farm prices with stupid tariff wars, etc., and make the government the purchaser of last resort.)
— “The right of every businessperson, large and small, to trade free from unfair competition and domination by monopolies. (Break up the giant corporations and encourage average people to start small businesses, including with loan supports.)
— “The right of every family to a decent home. (Today this would mean no more corporations, hedge funds, and foreign billionaires owning single-family homes to squeeze us dry by jacking up rents.)
— “The right to adequate medical care and the opportunity to enjoy good health. (FDR favored a single-payer healthcare system like Medicare for All.)
— “The right to protection from the economic fears of old age, sickness, accident, and unemployment (i.e., robust Social Security, Medicare, and unemployment insurance).
— “The right to a good education.” (Free or inexpensive college, quality public schools in every community.)

Much to the chagrin of my Republican-activist father, my grandfather (a 1917 Norwegian immigrant) frequently and proudly described himself as a socialist. When I asked him what he meant, he always pointed me to FDR, the New Deal, and his proposed Second Bill of Rights.

And here we are again.

My grandfather’s generation saw up-close and firsthand the tax-cutting and deregulation binge of the Roaring 20’s (which were only “roaring” for the morbidly rich), and then had the lived experience of watching FDR put the country back together and create the world’s first widespread middle class.

Millennials and Zoomers today are seeing the same thing, between the Bush Housing Crash of 2008, the botched Covid Crash of 2020, and the GOP’s relentless program to drive the wealth of the nation into the money bins of the billionaires who own that party.

They see the example of most European countries, where the commons includes college (many will actually pay you a stipend to attend), healthcare, and daycare/preschool, and union density is often well above 80%. Housing is subsidized or heavily regulated, leading several to have essentially ended homelessness. Giant corporate monopolies are prohibited and local small businesses are encouraged.

Europeans call these programs Democratic Socialism or social democracy, and young Americans clearly are enthusiastic about bringing the “European Dream” to this country.

My sense is that — much like in the 1930s — a significant majority of Americans are sick of the neoliberal “let the rich run things because they know best” bullshit that Republicans, “Tech Bros,” and a shrinking minority of on-the-take Democratic politicians embrace.

Meanwhile, nobody’s sure why the Democratic National Committee (DNC) is refusing to release the autopsy they did of the 2024 election, producing speculation it may have uncovered examples of Russian and Republican manipulation of both voters and the vote, but I’m guessing the real reason is that the neoliberals who largely run the DNC saw feedback that reflected the Rasmussen poll I opened this article with.

The exploding popularity of progressive politicians from Zorhan Mamdani to Bernie Sanders, Jasmine Crockett, Ro Khanna, Mark Pocan, and Alexandria Ocasio-Cortez aren’t an anomaly; they’re a signpost to both electoral and governing success for the next generation of genuinely progressive Democratic politicians.

https://www.msnbc.com/ali-velshi/watch/america-s-bizarre-economics-is-designed-to-enrich-the-rich-and-it-s-leaving-many-people-behind-2477858371985