The Economy Is Rigged

Former Labor Secretary Robert Reich sees parallels between Trump's populist appeal and Mamdani's progressive message, warning Democrats must embrace economic populism or face continued losses

In a political earthquake that has sent shockwaves through the Democratic establishment, 33-year-old democratic socialist Zohran Mamdani's stunning upset victory in New York City's Democratic mayoral primary has exposed the deep fractures within America's oldest political party. The young assemblyman's triumph over scandal-scarred former Governor Andrew Cuomo has prompted urgent conversations about the future of Democratic politics—and according to former Labor Secretary Robert Reich, it reveals a fundamental truth about American economics that both Trump and Mamdani understand, but from opposite sides.

An Unlikely Alliance of Understanding

"This is the one thing that I agree with Donald Trump about: The economy is rigged — but it's rigged against working-class people," Reich explained in a recent interview with Democracy Now. "And I think Mamdani understood that. He understood that people have got to want a change, but also they want affordability. They want an economy that is working for them."

This remarkable admission from Reich—a stalwart progressive who served as Bill Clinton's Labor Secretary—illuminates the complex political dynamics that made Mamdani's victory possible. While Trump has successfully channeled economic frustration into cultural populism and scapegoating, Mamdani offered voters something different: authentic economic populism focused on concrete solutions to affordability crises.

The Magnitude of the Upset

Mamdani claimed victory in the NYC Democratic primary for mayor in a speech early Wednesday morning at his campaign headquarters in Queens, telling supporters: "Tonight, we made history. In the words of Nelson Mandela, 'It always seems impossible until it is done.' My friends, we have done it. I will be your Democratic nominee for the mayor of New York City."

The scale of Mamdani's achievement cannot be overstated. With 93% of precincts reporting, Mamdani garnered 44% of ballots — the most of the 11 candidates and far more than the 36% of former Gov. Andrew Cuomo. This represents a complete reversal from earlier polling that showed Cuomo with commanding leads.

The 33-year-old state assemblymember and democratic socialist was virtually unknown when he jumped into the crowded primary field last fall. But he had recently skyrocketed in the polls, fueled by in-person interactions, viral videos and policy proposals that appear to have resonated especially among younger and first-time primary voters.

The Anti-Establishment Wave

Reich places Mamdani's victory within a broader context of anti-establishment sentiment that has been building for decades. "There is a huge anti-establishment wave in America, that's the strongest wave in American politics. And a lot of it has to do with the fact that the bottom 60 to 80% of Americans have not seen a real wage increase in 45 years," Reich observed.

This economic reality, Reich argues, explains both Trump's appeal and Mamdani's success. "People are doing a little bit better than they did 45 years ago, but the people at the top are doing wonderfully well. They're having weddings in Venice. There's so much conspicuous consumption at the top. Wealth has moved, has been siphoned off."

A Campaign Built on Affordability

Mamdani's campaign resonated precisely because it addressed these economic anxieties head-on. His platform included freezing rents for rent-stabilized tenants, making city buses and childcare free, and creating publicly owned grocery stores with low prices. "What we offer is a vision to keep New Yorkers in the place that they call home, and an antidote to the Trump administration and the hatred and the division that it spews," Mamdani declared.

Some of his Democratic rivals portrayed his positions as pie-in-the-sky and impossible to pay for. Mamdani, though, sold his ideas as making life in the city easier to afford, building his campaign around an issue that ranks among the biggest reasons Democrats lost in the 2024 election.

Overcoming the Money Machine

Perhaps most remarkably, Mamdani achieved this victory despite being vastly outspent. Cuomo was backed by "the biggest war chest in modern American politics," with his super PAC "Fix The City" raising more than $25 million—a record for New York City mayoral races.

"You had Bill Clinton endorsing him," Reich noted, referring to his former boss. "And you have the Democratic establishment really making a kind of last-ditch effort to do everything they possibly could for him. And they failed miserably."

The Generational Divide

Mamdani's age and ethnic background also earned praise from allies across the country. He would be the youngest New York City mayor in more than a century and its first Muslim and Indian American mayor if elected. This generational shift represents more than symbolism—it reflects a fundamental change in Democratic politics.

"They want new faces. They want younger people. They want a new generation of Democratic leaders," Reich explained, pointing to the broader implications of Mamdani's victory for Democrats nationwide.

A Viral Campaign Strategy

Mamdani's rise was powered by what political observers called "social media and hard work and seizing the left lane." He went on the Coney Island plunge into the ocean wearing a full suit. He walked from one end of Manhattan to the other. And while these are gimmicks, he seemed to be real, and it really had an impact with a lot of younger voters.

Mamdani's viral, go-anywhere, talk-to-anyone style of campaigning could send shockwaves through the Democratic Party nationally as its leaders and incumbents face calls from frustrated voters for authenticity and aggressiveness.

The Establishment's Panic

The reaction from Democratic establishment figures has been swift and revealing. Matt Bennett, co-founder of the centrist Democratic group Third Way, warned that Mamdani's "affiliation with the (Democratic Socialists of America) is very dangerous." Lawrence Summers, treasury secretary under former Democratic President Barack Obama, says the New York City results make him "profoundly alarmed about the future of the (Democratic Party) and the country."

Reich views this panic as misguided. "Mamdani is the corporate Democrat's biggest nightmare — a young, charismatic politician winning over Democratic voters with an optimistic message centering on the cost of living. Putting together a multiethnic and multiracial coalition backed by a sprawling grassroots campaign that brings out enormous numbers of volunteers."

Trump's False Populism vs. Authentic Economic Populism

The comparison between Trump and Mamdani illuminates the choice facing Democrats. "Trump fooled the majority of Americans, or at least a plurality, into thinking that he would be their savior, he would be doing something about prices, he would actually be responding to the needs of average working people," Reich explained. "But he uses the symbols of cultural populism, like immigration, to persuade a lot of people that he's on their side."

Mamdani, by contrast, offers what Reich calls "economic populism"—addressing the actual material conditions that drive voter frustration rather than deflecting toward cultural grievances.

Lessons for the Democratic Party

One of the winning features of Zohran Mamdani's campaign was a series of interviews that he conducted in parts of New York City that had previously voted Democrat, but in this election, went Trump. And he came to see, in fact, that the problem was affordability.

This insight suggests a path forward for Democrats struggling to reconnect with working-class voters who defected to Trump. Rather than chasing cultural populism, Democrats could embrace economic populism that addresses voters' real concerns about housing costs, healthcare, and economic security.

The Road Ahead

Even though New York City is heavily Democratic, there's still a general election in November. There could be as many as four opponents that Mamdani is facing, including Andrew Cuomo, who has not said whether or not he's going to continue his run. He has an independent line, should he pursue it. We haven't talked at all about the Democratic incumbent mayor, Eric Adams, who will also be running on a third-party line as well.

The November election will test whether Mamdani's progressive populism can triumph in a more complex field. But regardless of the outcome, his primary victory has already accomplished something significant: proving that authentic economic populism can defeat even the most well-funded establishment candidates.

Organized Money vs. Organized People

Zohran Mamdani has said the only answer to organized money is organized people. This is a message you've had for decades. Reich agrees: "He's exactly right. And this is a time for people to say, 'No,' in a very mass way."

This philosophy drove Mamdani's campaign and offers a blueprint for progressive Democrats nationwide. Rather than competing with corporate interests for donations, candidates can build grassroots movements that mobilize voters around concrete economic benefits.

A Crisis of Powerlessness

Reich sees Mamdani's victory as addressing a deeper crisis in American democracy. "Most Americans feel powerless. Most Americans feel that they have lost whatever power they had. And that's why, I think, they were looking for a strongman. This is a crisis right now."

"Unless the Democratic Party really does respond to the moment – and why can't it? You have Donald Trump there surrounded by billionaires, supported by billionaires, creating a government by, for, and of billionaires. Why is this not the perfect time for the Democrats to emerge as the party of average working Americans once again?"

The Future of Democratic Politics

Reich argues that "Democrats need Zohran Mamdani and other young politicians with fight in their hearts and rage in their bellies who can show that Trump is bad for working people and terrible for America and the world, and who can point the way forward."

"Instead of wringing their hands over him, Democrats should follow his lead. The largest force in American politics today is antiestablishment fury at a system rigged by big corporations and the wealthy to make them even richer and more powerful."

Mamdani's victory suggests that this anti-establishment energy doesn't have to flow toward authoritarianism and scapegoating. When channeled through authentic economic populism, it can build the kind of broad, multiracial coalition that Democrats need to compete effectively against Trump's false populism.

The question now is whether the Democratic Party will learn from Mamdani's success—or continue to resist the very changes that could revitalize their movement and reconnect them with working-class voters across America. As Reich argues, "This is the time for sounding a little bit strong."