Growing up, we were taught that the American dream meant that anyone, no matter where they came from or who their family is, could “make it” in America by working toward dreams and building a life they could be proud of. However, according to a 2024 survey asking participants whether or not the American dream, phrased as “if you work hard you’ll get ahead,” still holds true, 52% of Americans believe this dream is no longer attainable. Historians can trace the origins of the American Dream all the way back to 1895, and since then, it’s become part of the American identity and changed and morphed as our society has developed. However, disadvantaged groups have to fight an unbalanced system in order to try to reach the top. Most of the time, unless an individual is born into privilege, they are at an immediate disadvantage.
As early as kindergarten, non-white students are often already disadvantaged. In a report from EdBuild, a nonprofit that focuses on shedding light on school funding in the US, predominantly white school districts receive $23 billion more in federal funding than non-white districts. Additionally, even in impoverished communities, poor white kids still receive more than non-white ones. In the same EdBuild report, it states that in Arizona, poor white districts receive $19,000 in government funding per student while poor non-white schools get about $8,000. This gap is largely due to school districts’ reliance on property taxes for federal funding; white neighborhoods, even poor ones, tend to have higher property values and residents who can afford higher taxes, increasing the amount of money the schools receive. Additionally, wealthy areas can create small and exclusive districts, which keep their tax dollars and their benefits attached to only one school.
These disparities don’t end after grade school. Non-white students arguably need scholarships the most to pursue higher education, due to people of color being overrepresented among those impoverished in the US and the disparities they face in funding during grade school. However, they receive only about 28% of scholarships, while Caucasian students receive 72%. This discrepancy is due to a variety of factors, some of the most prevalent being that a good amount of these scholarships are focused on merit, and white students are statistically more likely to have higher GPAs, partially due to the higher federal funding predominantly white schools receive. Additionally, lots of private scholarships can have parameters that make them more likely to be award to white applicants based on access and lifestyle. This makes it harder for students of minorities to receive quality higher education. However, there are scholarships such as the Pell Grant that support students of color. The Pell Grant is need-based financial aid and does a good job of supporting minorities, reducing debt by 80% for Black students, 83% precent of Latino students, and 85% for Indigenous students.
Even when applying for jobs, non-white applicants face discrimination. In 2024, researchers at the University of California, Berkeley, and the University of Chicago created 83,000 fake job applications for over 10,000 entry-level positions. The names on the applications were purposefully racially distinctive, with some being white-associated and others being black-associated. On average, employers called back white-sounding names 9% more than the black-sounding ones, and in the most extreme cases, white names were called back 24% more.
If hired, the disparities for disadvantaged groups don’t stop. As of 2024, women make 85% of what their male counterparts do. Even more troubling, in 2023, black women would have been paid $42.7 billion more in wages, and Hispanic women $53.3 billion if they were white men. Additionally, it’s harder for women and people of color to move up in the corporate ladder; for every 100 men promoted, only 87 women and 73 women of color out of 100 receive a similar promotion. If these people can’t move up in the professional world, how are they supposed to combat rising housing prices and other economic challenges?
The American Dream states: equality of opportunity is available to any American. However, today, homebuyers need to make more than $110,000 annually to comfortably afford a home. That is over $30,000 more than the average income, and nearly 80% more than what was needed for homebuyers in 2020. During that same time, the median income has only risen 23%, not compensating for the rising house prices. Mortgage payments have nearly doubled, increasing 96% in just four years. For households making an average income, it would take almost 9 years to achieve enough money to put 10% down on a home. Yet, during those nine years, rent will continue to rise, and groceries will become more expensive. According to the U.S. Bureau of Labor Statistics, in the last year alone, home and food costs have risen 3%. As basic living expenses steadily climb, saving for a home becomes even more unrealistic for the average household, making the American dream even harder to achieve.
While the American Dream may once have been a beacon of hope that guided the people of America, the current perception of American Dream seems to be losing its validity for many Americans. For the majority of Americans, the system is flawed, making it extremely difficult to succeed unless born into privilege. To revive the American dream, drastic changes are needed so that all have equal opportunity to achieve educational, professional, and personal success.
