Last week, Democrat Zohran Mamdani, 34, defeated Andrew Cuomo, an independent, to become New York City’s youngest mayor in a century. Mr. Mamdani has promised to implement rent freezes, establish public grocery stores, expand universal childcare, introduce fare-free buses, and increase access to affordable housing. To fund these proposals, he has suggested increasing corporate taxes and additional taxes on millionaires.
Mr. Mamdani’s identity — he is Muslim and was born in Uganda to Indian parents — and policies struck a chord with the city’s residents, who have traditionally favoured career politicians and wealthier candidates for the post. Previous mayors include Michael Bloomberg, who had also pledged a substantial sum in support of Mr. Cuomo. Support from several billionaires and threats from U.S. President Donald Trump to cut federal funds for the city could not stop Mr. Mamdani’s welfare-state campaign. As a result, New York City, chosen as the world’s top financial centre for the sixth time in 2024 by the Global Financial Centres Index, is going to be led by a democratic socialist. The reasons for this shift are clear. As the financial hub evolves, so do its workers, voters, and their preferences, which now align closely with the solutions proposed by Mr. Mamdani.
The table below shows shows the sector-wise share of employees (in %) in New York City across years
The share of people employed in finance, insurance, and related fields such as investment banking, brokerage, and portfolio management in New York has declined from over 16% to just above 13%. In contrast, the share of those working in private education, healthcare, and social assistance — including teachers, nurses, and childcare workers, who are generally lower paid — has increased from over 30% to about 40%. Moreover, about one in four of the New York State’s residents are now foreign-born.
It is no surprise that Mr. Mamdani’s policies aimed at making housing, transport, and food more affordable have resonated with the city’s residents, as prices in all these areas have been rising faster in New York compared with many other metropolitan areas in the U.S. In New York City, average housing expenditures rose by more than 68% between FY12 and FY22, the highest among those listed below.
The table below shows the average increase (in %) in various expenditures across select metropolitan areas in the U.S.
Average transportation costs increased by about 56% between FY13 and FY23, compared with a national average of 41.5%. Similarly, average food expenditures grew by over 56% during the same period, compared with a national average of 46.4%. New York and San Francisco are the only two metros where costs have increased by over 55% in all three areas.
The table below shows the vote share margin, share of population on SNAP and the proportion of population identified as poor
Mr. Mamdani’s margin of victory over Mr. Cuomo exceeded 10 percentage points in the boroughs of Brooklyn, Manhattan, and Bronx, where the proportion of residents living in poverty and the share of those relying on the Supplemental Nutrition Assistance Program are notably higher. In contrast, Mr. Cuomo led in Staten Island, where both shares are the lowest, and Mr. Mamdani’s lead was much narrower in Queens, which also has relatively fewer low-income residents (Table 3).
The table below presents the vote shares across different precincts aggregated by various categories as reported by the New York Times.
Data published by The New York Times indicates that Mr. Mamdani’s policies had a clear impact on the election outcome. According to the paper’s post-election analysis, 57% of voters in precincts where most residents live in rented accommodation supported Mr. Mamdani. Similarly, about 62% of voters in precincts with a majority of public transport commuters backed him. In contrast, in precincts dominated by homeowners and car commuters, more than half voted for Mr. Cuomo.
Source: Current Employment Statistics by NY state’s Department of Labor, the NY City Council, NY State Comptroller and the New York Times