Treasury Secretary Scott Bessent warned that left-wing figures like New York City Mayoral Candidate Zohran Mamdani are gaining traction among young voters who have grown skeptical of the system, comparing the situation to “Caracas on the Hudson” and arguing that the antidote is broad-based ownership and economic stakeholding.
U.S. Treasury Secretary Scott Bessent sounded the alarm on growing socialist appeal among young Americans, particularly in New York, during a policy discussion with Breitbart News, citing State Assemblyman Zohran Mamdani as a key example.
“Why are we on the verge of Caracas on the Hudson in New York? Why is this guy getting traction? Because people, young people, are disillusioned with the system,” Bessent stated.
Mamdani, the Democrat nominee for New York City mayor, has proposed a socialist grocery store plan based on city-owned markets. He claimed the city could fund the project by redirecting $140 million in subsidies from “corporate grocery stores” to municipal ones. However, as Breitbart News previously reported, that figure was based on a misinterpretation of city data.
In reality, only about $30 million in tax breaks were issued by the city over a 12-year span. Despite the discrepancy, Mamdani has doubled down, with a campaign spokesperson saying the rest of the plan would be funded by taxing the rich.
Bessent warned that the real solution to rising socialist sentiment isn’t more government control, but giving working Americans real ownership and a stake in the system. As part of President Trump’s signature One Big Beautiful Bill, the administration launched Trump Accounts, a groundbreaking program that provides a $1,000 seed investment for every American newborn and allows up to $5,000 in private contributions annually.
“We’re making people part of the system,” Bessent remarked. “We are increasing financial literacy.” He described the accounts as a tool to help families understand saving, compound interest, and long-term investment, offering an alternative to economic disenchantment and dependency.
Private companies are already joining the effort. Charter Communications announced it will match the government’s $1,000 contribution for employees’ children, effectively doubling the investment for thousands of working families. Bessent said the initiative could eventually transform retirement planning: “In a way, it is a back door for privatizing Social Security.”
“People who are part of the system do not want to bring down the system,” he explained. “Trump Accounts are how we make them part of it.”
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