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Episode Summary:
In this episode of Trading Perspectives, John Norris and Sam Clement explore the surprising outcome of New York City’s Democratic mayoral primary, where 33-year-old Zohran Mamdani — a self-proclaimed Democratic Socialist — surged to the front of the pack. They discuss what his platform reveals about generational economic frustration, the fading American Dream, and why younger voters are increasingly drawn to idealistic — and economically questionable — policies. From rent freezes to free public transit, the conversation sheds light on how emotion, not just economics, is shaping the political future.
The title is an allusion to a famous headline in New York during the Ford Administration….when Gerald Ford essentially blocked a financial bailout for the city.
John Norris (00:30):
Well, hello again, everybody. This is John Norris at Trading Perspectives. As always, we have our good friend Sam Clement. Sam, say hello.
Sam Clement (00:35):
John, how are you doing?
John Norris (00:36):
Sam, I’m doing fantastically, and I hope you are.
Sam Clement (00:38):
I’m doing great.
John Norris (00:39):
Fantastic. Sam, I’ve got to tell you, I think a lot of people — at least in New York City — are feeling pretty excited about things.
Sam Clement (00:46):
Why? I think I have a guess.
John Norris (00:49):
What’s your guess?
Sam Clement (00:50):
The Democratic mayoral election?
John Norris (00:53):
Well, the primary. It certainly turned out a little differently than a lot of people expected — and a lot different than what people thought a few months ago. That’s because a sort of dark-horse candidate, a 33-year-old assemblyman — I think from Astoria, Queens — named Zohran Mamdani, easily distanced himself from the rest of the field. Former Governor Cuomo didn’t do well, and Mayor Adams didn’t even bother running. He’s planning to run as an independent.
Right now, Sam, I’ve got to tell you, this Zohran guy is the odds-on favorite. Current betting odds put him at around 70% to be the next mayor of the biggest city in the United States. And while being mayor in your own hometown might not seem like a big deal, New York has more residents — and voters — than most states. So this is a pretty important political position.
What’s more, this guy’s political positions are unlike anything I’ve seen from a major candidate.
Sam Clement (02:00):
You mentioned the importance of the New York mayor. It’s still the most important city in the world.
John Norris (02:09):
In the world.
Sam Clement (02:11):
Sure, you could throw in D.C., but that’s only because politicians meet there. New York is where everything actually runs through.
John Norris (02:21):
It’s the financial capital of the world.
Sam Clement (02:22):
Exactly.
John Norris (02:23):
Sorry, London — it’s the truth. At least for now.
Sam Clement (02:27):
You go back and think of Giuliani in 2001 and 9/11. Then Bloomberg. You’ve had these big, media-visible mayors. Outside of our local officials, I don’t know many other mayors by name.
John Norris (02:48):
Well, Karen Bass in Los Angeles comes to mind, mainly because she’s been in the news a lot.
Sam Clement (02:54):
And Brandon Johnson — though not for the best reasons.
John Norris (02:58):
The only other mayors I know are for reasons you’d rather not.
Sam Clement (03:03):
Exactly. These are large cities, but outside of New York, people rarely pay attention to mayoral elections. So it does carry weight. And I think it’s a sentiment gauge — how people are feeling. Cuomo was the safe, stable, establishment candidate — despite his COVID baggage. And yet it swung completely the other way.
John Norris (03:40):
So far, so completely, and so rapidly.
Sam Clement (03:43):
It kind of feels like 2016 with Trump. You had these traditionally one-direction states or cities suddenly swing. In some of Cuomo’s supposed strongholds, he did very poorly.
John Norris (04:04):
Right.
Sam Clement (04:05):
That’s worth expanding on — not just for New York, but what it says about voter sentiment elsewhere.
John Norris (04:25):
If you haven’t been following the news, Zohran Mamdani calls himself a Democratic Socialist — though how someone can run on the Democrat platform as a self-identified socialist is another question. Some of his policies are straight out of the Democratic Socialist playbook. People in my generation — Gen X — would call it flat-out socialism. That used to be a dirty word. It’s not anymore.
Some of his platform includes freezing rents, building affordable housing, cracking down on “bad landlords,” creating city-owned grocery stores, implementing free public transit, free childcare, free K-12, baby baskets for newborns, and more. It all sounds great — kind of like an idealist’s version of the world. But the money has to come from somewhere.
Sam Clement (05:43):
Exactly. We can debate the economics, but what I think is more interesting is: why are younger voters so enamored with this platform?
John Norris (05:58):
I’d love to hear it.
Sam Clement (06:00):
Peter Thiel — the entrepreneur — has a theory I think is spot on: when you have so many people with zero skin in the capitalist game, why should they support capitalism?
41% of Gen Z has zero or negative net worth. For millennials, it’s 38%. The average car payment is $750 a month for nearly six years. People are spending 40% of their income on housing. In New York, it’s worse. These groups have no incentive to be pro-capitalism.
John Norris (06:45):
And that assumes we even have pure capitalism — which we don’t.
Sam Clement (06:49):
Definitely not. But that’s the crux of the argument. Some people truly believe in socialist economics — and that’s fine. But for most younger people, this is about frustration. They feel locked out of opportunity. Meanwhile, the boomer generation holds onto wealth and economic control.
John Norris (07:21):
It’s hard to argue with that. The American dream feels more out of reach. Housing prices are up. In my neighborhood — Mountain Brook — kindergarten enrollment has been shrinking. People are being priced out. You’ll see it in Homewood too.
Cars are more expensive, and the cost of living is rising faster than income. The definition of “success” has also changed. When I was young, I didn’t buy my first house until I was 30. We drove cars until they hit 200,000 miles. A big night for us was bean burritos and Mexican beer. Expectations were just different.
Are you Gen Z?
Sam Clement (09:11):
I’m right on the line.
John Norris (09:13):
Well, even so — younger generations expect more, and more quickly. But yes, things are less attainable.
Sam Clement (09:28):
In 2008, the average birth year of a first-time homebuyer is the same as it is now. That means younger people still aren’t buying — only the same older group is. And it’s been the same generation running the country — Bush, Clinton, and Trump were all born within about 70 days of each other. Biden’s just a few years older. We’ve had decades of one generation at the helm.
John Norris (10:05):
The boomers.
Sam Clement (10:06):
Yep. They’ve accumulated most of the assets. This leads to a have/have-not economy, and resentment. It’s not just about expectations. There’s real data behind this divide.
John Norris (10:32):
And when people feel left out, they vote based on how they feel. If you’re 25 and can’t afford a home, you don’t care about advice like, “Just save more.” You vote based on your reality.
Sam Clement (10:50):
Exactly. It’s less about policy specifics and more about people saying, “What’s happening now isn’t working for me.” That frustration pushes people toward the extremes — left or right.
John Norris (11:03):
So, if you’re a 25-year-old with no assets, no home, no stock portfolio — what do you care if the market dips? You’re not in it. You hear about rent freezes and free transit, and it sounds great.
Sam Clement (11:17):
And if you’ve got nothing to lose, why not vote for it? That’s the emotional side of it — not the logical, economic side.
John Norris (11:26):
Yeah, and the emotional side wins a lot of elections. You and I can talk all day about how Mamdani’s ideas don’t add up financially, but to a voter scraping by in Queens, that might not matter. They just want a break — now.
Sam Clement (11:43):
And a lot of these policies — they sound great in the short term. Free stuff, tax the rich, crack down on landlords. But longer term, there are real consequences.
John Norris (11:55):
Exactly. If landlords are squeezed too hard, they stop investing in properties. Buildings deteriorate. Supply shrinks. Small businesses — like bodegas — can’t compete with city-run grocery stores. And if you make public transit free, usage surges and quality suffers. These outcomes are predictable.
Sam Clement (12:15):
And we’ve seen versions of this before. It’s not theoretical. There are case studies in other cities — even countries.
John Norris (12:24):
Yes, and while the mayor might not be able to enact all of these policies alone, the platform still matters. It’s direction-setting. And it tells us a lot about the mood of the electorate — especially young voters.
Sam Clement (12:38):
Exactly. Even if he doesn’t implement everything, it signals where the city — and maybe the country — is headed in terms of values and priorities.
John Norris (12:47):
Well, I think we’ve unpacked quite a bit. Thanks for diving into this with me, Sam.
Sam Clement (12:52):
Always a pleasure.
John Norris (12:54):
And thank you to everyone for listening. As always, if you have any thoughts, questions, or comments, drop us a line at . You can also leave us a review on your favorite podcast platform. If you’re interested in more insights, head over to Oakworth.com and check out our Thought Leadership section — where you’ll find more podcasts, our Common Cents blog, and other resources.
That’s all I’ve got today. Sam?
Sam Clement (13:20):
That’s all I’ve got.
John Norris (13:22):
All right, y’all take care.
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