Hope Street Group

5 Posts tagged with the american_dream tag
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Hope Street Group's Monique Nadeau submitted the following letter to the editor of the New York Times in response to an April 9 op-ed:

 

To the Editor:

    Forget universal health care coverage? Then you can forget the American Dream, too.

    Ramesh Ponnuru, in his April 9 op-ed ("The Misguided Quest for Universal Coverage"), is wrong to oppose the goal of universal access to health care coverage.

    While Mr. Ponnuru takes on the "practical, moral and political" cases for universal coverage, he ignores the most compelling case of all – the economic case. Hope Street Group, the non-partisan policy organization that I lead, has developed an Economic Opportunity Index (EOI) to show that the economic future of our people and our country depends on all of our citizens having access to health care coverage. The EOI demonstrates that health accounts for almost 25% of the total variation in economic opportunity.

    The author seems to imply that the only debate is about providing universal health care, unnecessarily raising costs. The fact is that controlling costs and improving quality are just as important, and are an integral part of all serious health reform discussions taking place in DC.

    To deny universal coverage -- and to ignore this opportunity to drastically remake the system -- is to deny millions of Americans the opportunity to lead healthy, productive lives and diminishes our country’s chance to regain its global competitiveness and widespread prosperity.

    Monique Nadeau
    Executive Director
    Hope Street Group

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There's been some hand-wringing in the press lately about why so many young people, from Ivy League graduates to Law School students, are forgoing public sector and non-profit jobs in favor of the private sector and corporate law firms. Are young people just more materialistic and apathetic these days? Or is there something else at work?

 

Journalist Daniel Brook has a compelling answer. His book "The Trap: Selling Out to Stay Afloat in Winner-Take-All America" gets to the heart of the problem: the rising cost of living in most American cities is making it nearly impossible for young people with public sector jobs to enjoy a middle-class lifestyle. Saddled with education debt and the spiraling cost of health care, unable to afford most real estate markets, to say nothing of the costs of raising children, is it any wonder our best and brightest are flocking to high-paying corporate jobs? As Brooks writes, "When a middle-class income no longer buys a middle-class life, things that rarely or never make one rich become harder and harder to pursue."

 

Although Brook's book is clearly partisan in tone, his subject matter transcends political boundaries, and the conundrum he exposes is at the core of Hope Street Group's mission. Following is an interview with Brook exploring some of his book's main themes.

 

HSG: Your book focuses on places where the cost of living a middle-
class lifestyle is most expensive, mainly in the northeast and in
California. In doing research for your book, did you find a similar
phenomenon happening in other places in the country as well, or is this something that is primarily limited to the coasts? Could a well-
educated person who wants to go into the public sector or a creative
field do better in Cleveland, for example?

 

Brook: Some of the phenomena I write about are local--like housing prices--while others are national--like health insurance and higher education. So by relocating, you can dodge some of the bullets. But even in Cleveland, teachers, for example, are priced out of almost all the desirable neighborhoods and suburbs.

 

But the main reason I focus on certain cities is because they're the places where it's most crucial people be able to afford public service jobs. Washington, DC, our nation's capital, is the clearest example of all. If you can't afford a middle-class lifestyle on a public service salary--and you can't, even senators at the top of the federal pay scale are priced out of the local housing market--it creates lousy government. Either only rich people can serve--which you now see in the millionaire's club that is the Senate--or you get the revolving door where public service becomes a career stepping stone on the way to lobbying in the private sector. (Before he lost his bid for reelection, one of the only middle-class members of the Senate, Rick Santorum, was commuting two hours a day from the Virginia exurbs, the only place he could afford a home for his family on a salary in excess of $150,000.)

 

HSG: You describe in frightening detail the rising cost of attaining
the American Dream, even for young people who are well-educated.
Your clear bias is for a liberal approach to solving these challenges
and yet, I would argue that at least some of the pragmatic solutions
you call for are at the heart and soul of many centrist post-partisan
(or at least bi-partisan) coalitions for health care and education
reform. For example, you write:

 

"In today's knowledge-based economy, it is clear that egalitarian
policies that guarantee higher education, health care and child care-
the sorts of policies that release talented individuals from reliance
on employers, spouses, and accident of birth-are in fact best for
ensuring social mobility and unleashing creativity."

 

This is the project, not only of Hope Street Group, but also major
national multi-sectoral coalitions such as Divided We Fail, which works on health care reform and financial security issues. In your
view, is their room for bi-partisan approaches, or is this
fundamentally a progressive project? What do you believe are the
limits of bi-partisanship?

 

Brook: It will be interesting to see how the so-called 'conservative crack-up' shakes out. If the Republican party moves back towards the center, or if individual Republicans do, there would be partners for some of the reforms I call for. (After all, the Republican party supported steeply progressive taxation in the past--under President Eisenhower, a Republican, the top income tax rate was 91%). But that's a hypothetical situation. As it stands now in the US, unlike in other developed democracies, there is no left-right consensus that health care is a right not a privilege. Sadly, there is not even consensus on the left side of the aisle that the extreme economic inequality is a bad thing. So to paraphrase Donald Rumsfeld, you propose reform strategies for the country you have, not the country you'd like to have.

 

HSG: You describe a retreat into domesticity that you say tends to
happen whenever life in the public sphere is unfulfilling,
financially or otherwise. However, you don't mention the internet
and how that may or may not be part of that trend-what do you make
of, for example, the rise of web-based activism and social movements?

 

Brook: I think the web is a potentially powerful tool for organizing like-minded citizens to action though I don't think it's a substitute for more traditional forms of activism. I'm concerned though that the Internet is as susceptible to domination by entrenched interests as other platforms. In DC, for example, grassroots organizations are routinely mimicked by corporate-backed 'astro-turf' organizations that masquerade as membership organizations. Couldn't the same thing happen on the web? At the end of the day, inequality matters. We're only going to build a more vibrant democracy if we build a more equal country.

 

HSG: I'm sure you saw last week's article in the New York Times about
the rising number of Ivy League-educated students who are forgoing
public sector work in favor of highly-paid private sector jobs. Even
without reading your book it is obvious to me why this is happening,
and yet, the author seems mystified. Nowhere in the article, nor in
the letters that were published in response to it, did it mention the
reasons that are central to your book's thesis. Why do you think
this is?

 

Brook: I did see the article. I agree that the author seemed mystified that these kids today are so ostensibly committed to public service, but are still making a bee-line towards whatever post-graduate job pays them the most. It's frustrating because the author is implicitly saying it wasn't always thus--that's the implicit argument of any 'trend' story--but she never actually fleshes out how career choices have changed in recent decades, let alone the cost of living in Cambridge, Massachusetts, surely an important benchmark for Harvard students. In my book, I often bring out intergenerational comparisons to give readers a broader framework for understanding individual decisions (for example, the fact that in 1970 a starting teacher in New York City made $2000 less than a starting corporate lawyers; now they make $100,000 less). Without some historical consciousness about how we got into this mess, there's really no way out.

 

HSG: There seems to be a real hunger for young people to go into public service. What do you make of movements like ServiceNation and the proposed U.S. Public Service Academy?

 

Brook: There is indeed a real hunger among young people to go into public service. ServiceNation and the US Public Service Academy are evidence of this as is the surge in applications to organizations like the Peace Corps and Teach for America. The issue is not whether there is interest in public service careers--there certainly is--it's what we as a society can do to make public service a viable career again, not just a post-graduate stint. That has to be attacked at the national level. For example, the US Public Service Academy can address the issue of student debt, allowing would-be public servants to graduate debt-free, but it can't address the new inequality which has rendered Washington, DC and state capitols like Boston and Austin unaffordable for public servants.

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I just finished watching the most recent installment of the "Up" films--a series of documentary films beginning in 1964 that has followed fourteen British children from different socioeconomic backgrounds since they were seven years old. The series is based on the maxim "Give me a child until he is seven, and I will give you the man," although in this case the explicit intention was to see how British class structure perpetuates itself throughout the subjects' lives. Every seven years the filmmaker has returned to these subjects to see how their lives have changed--where they went to school, where they work, how they live--to see whether the ideas and aspirations they had for their futures came to pass (the most recent edition filmed them at 49 years old). From the age of seven, the children articulated what they believed would be their place and destiny in British society. The wealthy children had big aspirations for their careers and knew which boarding schools and universities they would go to, while the working class children, uncertain of whether to attend university, wanted to become taxi drivers, work retail, or "just walk around and see what I can find." Although as they grew older many vehemently defended what they saw as their "choices" in life, in few cases did any of the subjects end up in a different class than where they started.

 

As an American, it has been fascinating to watch these films on a number of levels. Certainly, the premise that social class determines your future is an alien concept to most Americans raised on the twin beliefs that America is a classless society, and that only our imaginations limit what we can become. And yet, watching the film, I had the uneasy feeling that this smug attitude was outdated. The old American truism-that if you work hard you can get ahead, no matter what circumstances you were born into-is no longer something we can take for granted as a nation. The Pew Charitable Trust's Economic Mobility Project underscores this reality in a sobering study comparing mobility in America to that of other countries. Most tellingly, it reveals that while American optimism about mobility and the ability to achieve the American Dream is alive and well, in reality intergenerational mobility in America (the likelihood that you will do better than your parents) is worse than in just about any other comparable wealthy country. Indeed, it turns out the likelihood that a child will end up in the same economic position as his parents is equally low in the United States and the United Kingdom, with it taking a shocking six generations for family economic advantage to disappear in either country. Meanwhile, countries like Canada, Denmark, Finland and Norway have far more economic mobility than the U.S. These findings upend the traditional wisdom about the United States as a land of opportunity and mobility for anybody who works to achieve it. In this sense, we have more in common with the kids from the "Up" series than we would care to admit.

 

Of course, if there is one heartening take-away from the films, it is the reminder that life is about a lot more than income and class position. All the subjects experience the same arc to their lives-giddy optimism in their childhood, awkwardness and cynicism in their teens and early twenties; familial, career and financial turmoil and uncertainty in their late twenties and thirties; and, finally, contentment (or at least calm acquiescence) in their forties. As the subjects age, the series becomes less about class and more about what truly matters most to people's lives and their happiness-their families, satisfaction in their careers, and emotional stability. That may be cold comfort on a policy level, especially in the struggle to decrease inequality and increase mobility for all Americans, but at the very least it's an inspiring reminder of what to strive for in our personal lives.

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This week, New America Media released the results of a poll showing the attitudes of different ethnic groups toward opportunity and the American Dream. According to the poll, 74% of Latinos, 64% of Asians, and 44% of African Americans believe in the American Dream (defined as "if you work hard, you will succeed in the U.S.). When asked whether every American has the equal opportunity to succeed, 59% of Latinos, 43% of Asians, and 30% of African Americans strongly agreed.

 

While the methodology of the poll was somewhat flawed (for example, it took into account the difference in attitudes expressed by Asians depending on their country of origin but not Latinos, who are an incredibly diverse population), overall the results affirmed that the American Dream is alive and well in the hearts of many new Americans. On the one hand, the results are not surprising, since immigrants tend to self-select for the most optimistic and hard-working among a population. On the other hand, the findings are significant at a time when open hostility toward immigrants is being voiced by the media and many of our presidential candidates.

 

That African Americans are far more skeptical about America being a place where they have equal opportunity and a chance to achieve the American Dream is also significant, and shows the fault lines that exist between the experiences of different ethnic groups in our nation. It would be interesting to know why people think the American Dream is or isn't reachable, and what accounts for the differences between ethnic groups.

 

The poll results are also an interesting contrast to one conducted a year ago by the Aspen Institute, in which racial and ethnic backgrounds were not taken into account. That poll found the following:

 

"--While 81 percent agree that America is the land of opportunity, the idea is not something that is being realized, it is simply an abstract concept.
-- Today, 61 percent of Americans say they are not living the American Dream.
-- 61 percent of Americans who aren't living the Dream say they do not believe that they will ever reach the American Dream in their lifetime.
-- 75 percent say the American Dream is somewhat broken, with just 1 in 4 saying it is "alive and well" today.
-- 9 in 10 agree that it is harder to achieve the American Dream than ever before.
-- In addition, just 49 percent agree that if you work hard and play by the rules, you can lead a solid middle class life. 51 percent of Americans disagree with that statement."

 

Further polls along the lines of what the Aspen Institute and the New America Media conducted should offer a rich and varied picture of how different groups of Americans view the American Dream. In addition, when it is complete, Hope Street Group's Economic Opportunity Index will offer a quantitative perspective on which groups of Americans have the most access to opportunity today, and what is most important to achieving it. Quantitative and qualitative studies combined should offer a complete and varied picture of the state of the American Dream, indicators of where our policies are falling short, and point to what we can do as a nation to rebuild the American Dream for everybody.

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Today, the Pew Charitable Trust’s Economic Mobility Project released three new reports showing that while two-thirds of Americans earn more than their parents, the ability of future generations to get ahead largely depends on their parent’s income. In addition, the study finds that mobility has racial disparities, with a significant finding that is likely to generate a lot of debate: African Americans are less likely to do better financially than their parents, and are more likely to fall down the economic ladder. This is true regardless of their income or class position.

 

Both of these findings are disturbing. For while it is undeniable that most Americans are better off than their parents (indicating that there is still mobility in America), the fact that this mobility is increasingly tied to the economic position of one’s parents undermines a core belief that America is a place where anybody can get ahead by hard work alone. That mobility appears to have a racial dimension is particularly discouraging.

 

What accounts for this downward mobility, particularly among children of middle-class blacks? An article in the Washington Post quotes experts who speculate that the decline could be attributed to a number of factors, including an increase in the number of single-parent black households, the persistence of educational gaps between black and white kids, or the disparities in wealth between black and white families of similar incomes.

 

Whatever the cause, the findings have troubling implications for the promise of middle-class mobility in this country.