How America Ceased to Be the Land of Opportunity (with Yoni Appelbaum)
Feb 4, 2025
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Yoni Appelbaum, a deputy executive editor of The Atlantic and author of "Stuck," dives into America's evolving landscape of opportunity. He discusses how zoning laws and economic policies have locked many into communities, preventing upward mobility. The episode highlights the historical context behind rising housing costs and their impacts on family relocation. Appelbaum emphasizes the need for housing reforms to restore accessibility and argues that mobility is essential for fostering prosperity, especially for immigrant families.
Decades of trickle-down economics have failed to generate widespread growth, necessitating a shift toward middle-out economics for sustainable prosperity.
The current housing crisis reflects a broader mobility issue, limiting individuals' ability to relocate for better economic opportunities.
Deep dives
The Failure of Trickle-Down Economics
Decades of trickle-down economics have not delivered the promised growth, leading to rising inequality and political instability. The central argument is that prioritizing the wealthy has failed to generate widespread economic prosperity. Instead, the focus should shift to middle-out economics, which posits that the middle class is essential for sustainable economic growth, serving as both a driving force and a structural support for the economy. The conversation highlights the need for a paradigm shift in economic thinking to foster a more equitable and stable society.
The Housing Crisis as a Mobility Issue
The current housing crisis is described not merely as a shortage of homes but as a mobility crisis that restricts individuals from moving to areas of better opportunity. High housing costs in desirable regions prevent many Americans, particularly lower-income families, from relocating to places that offer better job prospects. This limited mobility has pervasive impacts on future generations, reducing their chances of upward economic movement. By digging deeper, it becomes clear that the issues of housing and economic opportunity are interlinked, necessitating policy changes to enable and encourage mobility.
Historical Context of American Mobility
Historically, American mobility rates were significantly higher, with significant segments of the population relocating for better opportunities, a phenomenon that has diminished dramatically since the 1970s. Regulatory and policy changes, particularly regarding zoning and housing development, have restricted movement and contributed to economic stagnation for many. Factors such as zoning laws and federal housing policies have fostered an environment where low-income families find it increasingly difficult to relocate and improve their living conditions. This historical perspective emphasizes the necessity for reform to revive the spirit of mobility that has traditionally fueled American progress.
Restoring Economic Opportunity through Housing Reform
The discussion emphasizes the need for critical reforms in housing policies to facilitate mobility and economic opportunity for all Americans. Suggestions include simplifying zoning regulations, prioritizing mobility over homeownership in policy frameworks, and encouraging the construction of ample affordable housing. These changes could revitalize upward mobility, enabling families to pursue better opportunities without the constraint of existing housing costs. By fostering an environment where individuals can relocate freely and access newer job markets, communities can thrive, restoring the American dream of economic advancement for future generations.
This week, Nick and Goldy are joined by journalist and historian Yoni Appelbaum to discuss his forthcoming book, Stuck: How the Privileged and the Propertied Broke the Engine of American Opportunity. They explore how decades of failed economic policies and zoning regulations have restricted mobility, stifled economic growth, and worsened inequality—revealing the historical roots of our current housing and economic inequality crises. Appelbaum argues that the decline in housing affordability isn't just a housing problem but a mobility problem, as many Americans are increasingly unable to afford to move to areas of the country where they can pursue better opportunities for themselves or their children.
Yoni Appelbaum is a deputy executive editor of The Atlantic and a social and cultural historian of the United States. Before joining The Atlantic, he was a lecturer on history and literature at Harvard University.