Why Does Progressive Megadonor Nick Hanauer Blame Blue Cities’ Woes on … Barack Obama?

Seattle venture capitalist and Democratic megadonor Nick Hanauer doesn’t fit neatly into pre-fab boxes. He’s a wildly successful tech investor who denounces tech moguls as “narcissistic sociopaths.” He’s a billionaire “class-traitor” (his term) who’s been sounding the alarm about what he sees as the dangerous obliviousness of the ultrarich to the resentment their class privilege engenders. He’s a proud capitalist who rails against neoliberalism and who developed and popularized the concept of “middle out” economics.In short, Hanauer, a host of the popular Pitchfork Economics podcast (President Joe Biden was a recent guest), has strong opinions on lots of topics, including what ails blue cities, and why. In our wide ranging conversation with Nick for the latest BCB episode, Nick voices his frustrations with the seemingly intractable problems evident on the streets of blue cites: unsheltered homelessness, untreated mental illness, unchecked street disorder. While he blames ideologically misguided governance in blue cities for not appropriately tackling these problems, he says the blame for their existence, and their daunting scale, lies elsewhere: with 50 years of neoliberal policies that have led to disinvestment in public priorities like institutions for the mentally ill or affordable housing. Policies he says Democratic elites – and in particular Barack Obama – and the party’s donor class have been complicit in. “That was Obama-ism to me: we’re going to put a good face on how much we care about the little people, but we’re really not going to do anything about it,” Nick tells us. “A kinder, gentler form of trickle down economics.”Please send your feedback, guest and show ideas to [email protected] the show