This revival of spiritual and family-oriented aspirations represents a partial repudiation of the moral relativism that took hold in the 1960s and has since become a mainstay of American pop culture. In essence, many Xers are struggling to find a new values consensus that lies somewhere between the secular permissiveness of the left and the cultural intolerance of the right.
When it comes to race relations, Xers are particularly difficult to categorize. They are the cohort most likely to say that the civil-rights movement has not gone far enough. Yet, like Americans of all ages, they register a high level of opposition to job- and education-related affirmative-action programs. The American National Election Survey has reported that 68 percent of Xers oppose affirmative action at colleges. This seeming paradox can be explained in part by the fact that most Xers—though genuinely concerned about improving race relations—are among the first to have felt the actual (or perceived) bite of the affirmative-action programs that their parents and grandparents put into place.
Improving public education is one of the highest policy priorities for Xers. In fact, when asked what should be done with any future budget surplus, nearly half favor increased education spending. They seem to understand that knowledge will be the key to success in the information- and service-based economy of the twenty-first century. Their strong emphasis on education betokens a larger belief in the importance of investing in the future. Rather than maintaining the social-welfare state, the Xer philosophy would favor the creation of a social-investment state.
Although Xers have forsaken conventional political participation en masse, it would be a mistake to assume, as many do, that they are wholly apolitical. There is considerable evidence to suggest that volunteerism and unconventional forms of political participation have increased among young adults. Local voluntary activities, demonstrations, and boycotts all seem to be on the rise within their ranks. Heather McLeod, a Generation X co-founder of Who Cares magazine, has provided the following explanation: "We can see the impact when we volunteer. We know the difference is real." The implication, of course, is that the conventional political system has become so ineffectual and unresponsive that young people can make a positive difference only by circumventing it.
Xers may be poorly informed when it comes to public affairs, but they know enough to believe that our political system is badly in need of reform. At a very basic level they recognize that the political system is rigged against their interests. For one thing, Xers continually see a large gap between the issues they care most about and the ones that politicians choose to address. For another, they understand that Democrats and Republicans, despite an appearance of perpetual partisan infighting, collude to favor upper-income constituencies and to prevent a range of issues (including campaign-finance reform) from being acted on. Seeing themselves as the "fix-it" generation, Xers long for leaders who will talk straight and advocate the shared sacrifices necessary to correct the long-term problems that preoccupy them most. But today's elected officials are far too deeply trapped in a politics of short-term convenience to deliver anything of the sort. Not surprisingly, then, Xers are eager to do away with the two-party system. They register particularly strong support for third parties, for campaign-finance reform, and for various forms of direct democracy.
The final core belief that helps to define the political views of today's young adults is their commitment to environmental conservation. Thanks to the advent of environmental education and the spread of environmental activism, Xers grew up experiencing recycling as second nature; many actually went home and lobbied their parents to get with the program. In fact, the environment is one of the rare public-policy arenas in which Xers are fairly aware. Many have incorporated their environmental values into their lifestyles and career choices. For instance, a 1997 Harvard Business Review article titled "Tomorrow's Leaders: The World According to Generation X" revealed that most current MBA students believed that corporations have a clear-cut responsibility to be environment-friendly in their practices. This generation does not believe that a tradeoff is necessary between a strong economy and a healthy environment.
Fiscal prudence, economic populism, social investment, campaign reform, shared sacrifice, and environmental conservation—this constellation of beliefs transcends the existing left-right spectrum. It should be immediately apparent that this generation's voice is not represented by any of the established leaders or factions in the political mainstream. And Xers seem to recognize as much—61 percent agree with the statement "Politicians and political leaders have failed my generation." So how would American politics change if the voice of Generation X were suddenly heard?
DESPITE its feeble rates of political participation, Generation X has already—if unwittingly—exerted an influence on the substance of our politics. This may seem counterintuitive, but who would deny that young Americans were a major force in pushing the balanced-budget cause to the fore? In part this is owing to the large number of Xer votes cast in 1992 for Ross Perot, the candidate who staked much of his campaign on balancing the federal books. Though Perot lost, his pet issue gained momentum as candidates from both parties scrambled to win over Reform Party voters, and the young ones in particular. Recognizing that Generation X makes up a large and particularly unpredictable voting bloc, candidates from across the spectrum have gone out of their way to woo the youth vote, usually by paying lip service to some of young people's more obvious concerns, including, most recently, Social Security reform. Over time, however, Xer support for issues such as balancing the budget and saving Social Security will turn out to be only part of a much broader agenda, one that could come to challenge the status quo on everything from taxes to social policy to political reform.
For years the nation's tax debate has revolved around the question of how much to tax, with the left arguing for more and the right for less. In keeping with the concept of balanced-budget populism, the Xer economic agenda would start with the assumption that the government's share of national income should remain roughly constant. It would focus instead on a far more profound set of questions: What should be taxed? Who should be taxed? What should we invest in? and Who should get the benefits? Over the past several decades the tax burden has crept further and further down the income and age ladder, with the benefits going increasingly to the elderly and the well-to-do—the government now spends nine times as much on each elderly person as it does on each child. If Xers had their way, the collection of taxes would become more progressive and the distribution of benefits more widespread.
One would never know it from partisan skirmishes over income-tax cuts, but the payroll tax actually constitutes the largest tax burden borne by 70 percent of working families and by a full 90 percent of working Americans under age thirty. It is also the most regressive of all taxes, because it kicks in from the first dollar earned, falls exclusively on wages, and is capped at $72,600. An appealing solution to this problem would be to replace payroll taxes with pollution taxes, thereby boosting wages, promoting jobs, and cleaning up the environment, all without raising the deficit. Taxing waste instead of work is precisely the kind of innovative and pragmatic proposal that could help to galvanize the members of Generation X, who have been put to sleep by the current tax debate.
Sooner or later Xers will figure out that America could raise trillions of dollars in new public revenues by charging fair market value for the use of common assets—the oil and coal in the ground, the trees in our national forests, the airwaves and the electromagnetic spectrum—and the rights to pollute our air. We currently subsidize the use of these resources in a number of ways, creating a huge windfall for a small number of industries and a significant loss for all other Americans. The idea of reversing this trend by charging fair market value for the use of common assets and returning the proceeds directly to each American citizen plays to a number of Xer political views—it is populist, equitable, libertarian, and pro-environment all at once.
The populist economic leanings of young adults will also lead them to rethink various other elements of the social contract between citizens, government, and business. For one thing, ending corporate welfare would appeal to a generation weaned on the principle of self-sufficiency. The hidden welfare state, composed of corporate subsidies and tax loopholes that overwhelmingly benefit the well-to-do, has grown several times as large as the hotly debated social-welfare state that benefits the disadvantaged through means-tested programs. Yet today's politicians are too much indebted to the beneficiaries of this governmental largesse to do anything about it. Here, then, may be the key to keeping the budget balanced while funding the social investments that are so important to Xers: all of the money raised or saved by charging for the use of common assets, ending corporate welfare, and closing unproductive tax loopholes could be used to make a topnotch education affordable and accessible to all and, just as important, to make every American child a "trust-fund" baby from birth.
Making economic incentives more progressive and redirecting budgetary priorities is only one part of an Xer economic agenda. Today's young adults, more than any other group at a comparable age, are concerned about their economic outlook and their ability to balance the conflicting demands of work and family. If such problems worsen as a result of economic globalization, then the populism of Generation X, which up to this point has been relatively mild, may suddenly become more pronounced. For instance, the 2030 Center, an advocacy group concerned about the economic well-being of Generation X, is launching a campaign to promote a contingent workers' bill of rights, which calls on employers to provide health care and other benefits to more of their workers.
Even as they were being told that education is the key to a promising future, many Xers were learning the hard way how bad our urban schools have become, and how inequitable is the access to a high-quality education. Neither party is providing a palatable solution: Republicans are all but writing off public schools by emphasizing vouchers that favor private schools, and Democrats are perpetuating many of the worst public-school problems by refusing to challenge the teachers' unions. There are no simple solutions to the predicament, but an obvious starting point would be to sever the traditional link between public-school funding and local property taxes, which only exacerbates existing socioeconomic inequalities. (Several states have already begun moving in this direction.) Another significant improvement would be to increase the skill level of our public-school teachers by imposing stricter standards and offering more-competitive salaries.
Xers would support enacting new policies to advance racial integration and civil rights in America—policies that avoid the divisiveness and unintended consequences of race-based affirmative action. Although such policies made sense when they were introduced, many Xers believe, race is no longer the determining factor in who gets ahead. In the twenty-first century poor black Americans will have more in common with poor white Americans than they will with upper-middle-class blacks. If the goal is to help those most in need, it would make a lot more sense to pursue class-based affirmative-action programs. Doing so would enable all those at the bottom—regardless of race—to get the help they need, in a way that promoted national unity and racial integration. Another promising alternative to race-based affirmative action is the Texas Ten Percent Plan, whereby all students graduating in the top tenth of their high school classes—whether in inner-city schools or in elite private ones—are automatically accepted into the state's public universities.
Fundamental campaign and political reform is the sine qua non of a Generation X political agenda. Like most Americans, Xers would like to see bold steps taken to get money out of politics. But persuading America's young that their individual votes matter is likely to require reforms far more radical than any currently under consideration.
Until recently most political-reform movements in the United States were based on the assumption that the problem was not the two-party system itself but rather its corruption by special interests and incumbency (hence the proposed cures of campaign-finance reform and term limits). But neither the reduction of private campaign contributions nor the implementation of term limits for elected officials will alter what seems to alienate Xers most of all: the political duopoly of Democrats and Republicans. The rules of today's two-party system actively discourage a third or a fourth party. Consequently, there is growing interest among the young in replacing our archaic electoral process (itself a remnant from eighteenth-century England) with a modern multiparty system. With three or four parties contesting many races, politics might become exciting enough to draw in disenchanted Xers who believe, correctly, that in most elections today their votes do not count.
As the vanguard of the digital age, Xers will also be inclined to support experiments with electronic democracy. For instance, one Xer has launched an effort to make information about the sources of campaign contributions immediately available to the public and the media over the Internet. But the full potential of digital democracy runs much deeper. Already groups are experimenting with electronic town-hall meetings and various forms of deliberative democracy, in which individuals are provided with a full range of information on a particular issue and can register their opinions with the push of a button. It is not hard to imagine a day when citizens will be able to register and vote online, and to monitor the performance of their elected officials with electronic scorecards.
The introduction of electronic communication within corporate America has helped to flatten organizational hierarchies, boost information flows, increase decision-making speed, and, most of all, empower workers. It is at least conceivable that the introduction of electronic forms of democracy could serve to re-engage a generation that has been alienated by today's money-, spin-, and celebrity-dominated politics. And if Xers do eventually enter the fray, their agenda will transform America's political landscape.
REPUBLICANS and Democrats will be tempted to dismiss the Xer agenda, because it threatens their electoral coalitions and the politics of short-term convenience. But both parties will do so at their peril, because many of the issues that Xers care most about are already rising to the political surface. A glimpse of the future may come, strangely enough, in the election of Jesse Ventura as governor of Minnesota. Much of Ventura's support came from young adults, who took advantage of Minnesota's same-day registration law and stormed the polls, helping to create a record turnout. This suggests that if a political candidate can somehow capture the passion of young adults, they will do their part. Ventura offered young Minnesotans something refreshing: a clear alternative to Democrats and Republicans, and a willingness to take on the status quo. But Jesse Ventura is no figurehead for Xers; he is just an early beneficiary of their pent-up political frustration.
As the Xer political agenda starts to take hold, it will further strain existing loyalties. On the Republican side, the odd-bedfellow coalition of social conservatives and economic libertarians that has defined the party for the past two decades is coming apart as a result of the Clinton impeachment saga, whose most lasting legacy may be that it dealt a coup de grace to the political aspirations of the religious right. The Democratic coalition is just as fragile, particularly since it has been losing its base of working-class white men, and the potential retreat of the religious right may deprive Democrats of an obvious opponent against which to rally. As these de-alignments unfold, major shifts in the makeup and core agendas of both parties become almost inevitable.
The stability of today's political consensus is also contingent on the promise of an economy that continues to expand. Take that away, and the props of the status quo—a balanced budget and the novelty of a budgetary surplus, a booming stock market and stable price structures, low unemployment and rising wages, falling welfare rolls and crime rates, and the illusion of a painless fix to Social Security—all topple at once. No business cycle lasts forever, and the global economic crisis of 1998 should come as a warning of what may lie ahead. The prospect of a significant recession leaves the future of American politics wide open.
Turning points in our nation's political history, occasioned by the collapse of an existing civic and political consensus, have usually been accompanied by rampant individualism, weakened institutions, and heightened levels of political alienation. On these scores Xers are playing out their historic role remarkably well. But such periods of civic unrest have also stimulated new political agendas, which eventually force one or both parties to remake themselves around new priorities and coalitions. Could the Generation X political agenda serve as the basis of America's next political consensus?
Balanced-budget populism, social investment, no-nonsense pragmatism, and shared sacrifice could resonate quite strongly with Americans of all ages—particularly the increasing number who are fed up with conventional politics. What is more, the Xer synthesis of a middle-class economic agenda with a moderate social one could remake the powerful alliance between progressives and populists that dominated national politics (and brought widespread upward mobility) from the 1930s to 1960s, when it was ripped apart by the cultural upheaval of the Baby Boom. In practical terms this new politics—based on fiscal prudence, economic populism, family-friendly morality, social investment, campaign reform, environmental conservation, and technological innovation—could eventually take hold in either of the major parties, both of which are now searching for a coherent agenda and a lasting voter base. For Democrats it could mark a return to the party's New Deal roots, and for Republicans it could give substance to heretofore vague calls for a "compassionate conservatism."
Since this new politics could speak to many of those who are alienated by the current political order, Xers and older Americans alike, it could give birth to our nation's next majoritarian coalition. Such a coalition could do a great deal to reinvigorate our nation's democracy, benefit the majority of its citizens, and restore legitimacy to our political system.
When history books are written at the end of the twenty-first century, it is unlikely that the post-Baby Boom generation will still be referred to as a nondescript "X." One way or another, this generation will be judged and labeled by its legacy. Today's young adults will be remembered either as a late-blooming generation that ultimately helped to revive American democracy by coalescing around a bold new political program and bringing the rest of the nation along with them, or as another silent generation that stood by as our democracy and society suffered a slow decline.
The great question of twenty-first-century politics is whether a critical mass of Xers will eventually recognize the broader potential of their agenda, and outgrow their aversion to politics.