The 5 Best Past Presidents for the Middle Class, According to Economists
Written by
Tobi Opeyemi Amure
Edited by
Zuri Anderson
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The American middle class used to be the backbone of the nation’s economic prosperity, but the last few decades have not been easy for them.
From stagnant wages to rising costs of living, this vital demographic’s struggles have dominated political and economic policy debates. Given this, economists have examined past presidents’ effects on middle-class fortunes through GDP growth, job creation and income trends.
So, which presidents have indeed championed the middle class? Based on these metrics, here are the five past presidents who have been most beneficial for the American middle class.
1. Franklin D. Roosevelt (1933 to 1945)
“Roosevelt’s New Deal gave immediate relief to society in the middle of the Great Depression,” said Andrew Lokenauth, the founder of TheFinanceNewsletter.com. His presidency saw an unemployment rate fall off and the economy grow an average of 10% each year.
Roosevelt also established a legal minimum wage and created Social Security with its old-age pensions and unemployment insurance, laying the groundwork for American regulation and welfare.
However, some economists challenged the economic logic of his New Deal, which was large-scale and popular. FDR realized that if they could give massive amounts of money to recipients who would also support them politically. This approach allowed them to implement policies on a scale never before seen in American history.
2. Lyndon B. Johnson (1963 to 1969)
Many opportunities for the middle class were greatly increased by LBJ’s “Great Society” programs. Under his leadership, unemployment dropped from 5.7% to 3.4%. Medicare and Medicaid were established, and there was strong support for education and poverty reduction.
Social programs were proposed through poverty, education, racial discrimination, and domestic issues of the Great Society. Job Corps and VISTA were created under Johnson’s Economic Opportunity Act, which was meant to train low-income communities with skills and jobs.
Under Johnson were the 1965 Voting Rights Act and the Immigration and Naturalization Act. For decades, these laws have defined American civil rights and immigration policy.
3. Bill Clinton (1993 to 2001)
“Clinton’s presidency was a period of strong job creation and middle-class income growth,” Lokenauth said. In just eight years, Clinton had an economy that grew 3.9% a year and created 21.6 million jobs. After inflation, median household income jumped by 14%.
Clinton’s economic policy focused on fiscal responsibility, cutting wasteful spending and promoting wise investments. He signed the Omnibus Budget Reconciliation Act, which reduced spending and raised taxes. In 1993, Clinton signed NAFTA into law, establishing a free trade zone between the US, Canada and Mexico.
Clinton reduced unemployment from 7% to 4%, brought down inflation and left a $237 billion surplus in the budget. Under his administration, homeownership increased and poverty decreased.
4. Dwight D. Eisenhower (1953 to 1961)
Eisenhower was a Republican, but his policies helped the middle class.
In Eisenhower’s day, corporate profits were taxed twice as much, and the marginal tax rate for the top income bracket was 90%. This high tax burden on businesses coincided with a booming economy that benefited most Americans. Back then, the average CEO received 20 times more than the average employee, unlike today, when it’s 200 times more.
Eisenhower prioritized public works and human capital. He added the Interstate Highway System, raised the minimum wage and extended Social Security. Despite these, infrastructure and education investments employed millions of Americans, many of whom repaid the nation many times over.
5. John F. Kennedy (1961 to 1963)
Kennedy’s economic policies helped the middle class grow, but his presidency was short. During his time, Kennedy raised economic growth to 5.5% and slashed unemployment from 6.7% to 5.6%. His tax cuts, which boosted economic growth, allowed middle-class prosperity.
Kennedy hoped that tax reform would end “the tragic waste of unemployment and unused resources” and help “the growth and vigor of our national economy.” What he wanted to do was to pump up productivity and get people jobs and investment opportunities. Tax reforms were intended to benefit wage earners, low-income families, middle and high-income families, businesses, and farmers.
In all brackets, Kennedy proposed cutting taxes — more on the lowest end of the spectrum. Lowering corporate taxes to 47% and small business taxes on the first $25,000 net income by 27% was also part of the suggestion.
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