Washington, D.C. – May 16, 2025
–The American dream has long been built on a simple premise: that with hard work and determination, anyone—regardless of their background—can rise above their circumstances. But for millions of Americans today, that dream feels increasingly out of reach. And the once-revered notion of “pulling yourself up by your bootstraps” has become, for many, not just outdated—but impossible.
According to a sweeping new report released this week by the Congressional Budget Office (CBO), wealth inequality in the United States has reached levels not seen since the Gilded Age. The top 10% of households now control nearly 70% of the nation’s wealth, while the bottom 50% collectively own just 2.5%. Wages have stagnated for decades, housing costs have soared, and the cost of essentials like health care, education, and child care continue to outpace inflation.
“Hard work is no longer enough,” said Dr. Elena Brooks, an economist at the Brookings Institution. “We’re asking people to climb ladders that have been stripped of their rungs. The old narrative doesn’t match today’s economic reality.”
The Illusion of Mobility
For generations, the “bootstraps” ethos has served as both a rallying cry and a moral compass for American individualism. But recent data show that upward mobility—the very foundation of that ideal—is in sharp decline. Children born into low-income families are less likely than ever to move into higher income brackets, and in many regions, generational poverty is entrenched despite individual effort and resilience.
“People are working two or three jobs and still can’t pay rent. That’s not a failure of character—that’s a failure of the system,” said Angela Dorsey, a single mother and nursing assistant in Kansas City. “I’ve done everything right. I finished school. I never missed work. But I can’t afford daycare and groceries in the same week.”
A recent Pew Research Center survey found that nearly 60% of Americans believe the economic system is “rigged” in favor of the wealthy, and only 28% believe that hard work alone guarantees success.
Structural Barriers, Not Personal Failures
Experts emphasize that the issue is not a lack of willpower or ambition, but structural barriers that keep many people trapped in cycles of low pay, unstable housing, and debt.
“It’s important to understand that the myth of the self-made person is just that—a myth,” said Dr. Kavita Anand, a sociologist at the University of Michigan. “Behind every story of success is a web of support: inherited wealth, access to education, connections, and safety nets. Those aren’t equally available.”
In rural areas, job opportunities have vanished as industries consolidate and automate. In cities, rent has outpaced wages by margins that make homeownership—once the hallmark of the American dream—unattainable for the working class.
The result is a widening divide between those who can weather economic shocks and those one paycheck away from catastrophe.
The Emotional Toll
Beyond the financial strain, there is a deep emotional and psychological burden. The narrative of self-reliance has left many feeling ashamed or defeated when they can’t “make it” on their own—despite overwhelming odds.
“I used to blame myself,” said Devon Mitchell, a former warehouse worker in Akron, Ohio, who was laid off during the pandemic. “But I realized I’m not lazy. I’m exhausted. And I’m not alone.”
Mental health providers report increasing levels of anxiety and depression tied to economic stress, particularly among young adults who feel they’re falling behind despite working longer hours and taking on more debt than previous generations.
Rewriting the Narrative
Calls are growing for policymakers to replace personal responsibility rhetoric with systemic reforms—investments in affordable housing, universal child care, paid leave, living wages, and equitable access to education and health care.
Some cities and states are experimenting with bold solutions: guaranteed income pilots, tuition-free college programs, and expanded social safety nets. But advocates say a national reckoning is needed.
“We need to stop asking why people aren’t working harder, and start asking why the richest country in the world makes it so hard for people to live with dignity,” said Congresswoman Rosa Jiménez (D-CA), who is co-sponsoring the Fair Opportunity Act introduced this spring.
A Turning Point
As economic inequality becomes harder to ignore, many Americans are rethinking what success means—and how society defines worth.
“The idea that we can all lift ourselves up ignores the reality that millions were never given boots to begin with,” said Dr. Brooks. “It’s time to build a different foundation—one that acknowledges our interdependence, not just our independence.”
A More Empathetic World 