WASHINGTON, D.C. – Most Americans cannot explain how their own government and economy function, according to a new national survey from the U.S. Chamber of Commerce Foundation.
Fifty-eight percent of adults fail a basic civics test, while 86% fail a basic economics test, according to the survey. Yet 74% of Americans remain confident they could explain how government works to someone from another country.
“This jarring disconnect between perceived and actual knowledge reveals the true depth of America’s civic literacy crisis as we approach the nation’s 250th birthday,” U.S. Chamber Foundation Vice President Hilary Crow said.
The 2025 Civic and Economic Literacy Survey, conducted in partnership with RXN, marks the second consecutive year of alarming findings.
The consequences extend beyond test scores. Eighty-four percent of Americans say the nation is politically divided, and 48% report these divisions are impacting their daily lives – straining personal relationships (27%) and driving politically motivated consumer choices (32%).
But the survey reveals a potential solution: Americans with higher civic literacy scores report a greater ability to deal with a political disagreement. Eighty-three percent of those with high civic literacy and 85% with high economic literacy say they feel prepared to do so.
Business Emerges as Critical Bridge-Builder
Amid deep political divisions, Americans express remarkable trust in business. Ninety-two percent view small businesses favorably, and nearly eight in ten (79%) believe business plays an important role in sustaining democracy.
“Businesses have an extraordinary opportunity to help rebuild civic trust,” Crow said. “From providing learning opportunities to fostering civil dialogue, employers are uniquely positioned to bridge the civics gap.”
Americans Embrace Capitalism When They Understand It
Support for capitalism remains robust: 80% of Americans say it is important, and 70% believe it is working well. The correlation between knowledge and support for the free-enterprise system is clear. Those who score higher on both civic and economic literacy tests are more likely to believe America is a great country, and to recognize that a strong economy and informed citizenry are essential pillars of democracy.
The Solution: Americans Demand Better Civics Education
Ninety-two percent of Americans agree that civics education is critical to the country's success. Yet only 66% believe it is working well today, a troubling gap that persists from last year’s findings. Eighty-six percent agree the country would be stronger if more people understood how government works.
“Two years of data have painted a clear picture. Now it’s time to act,” Crow said. “Through programs like Civics@Work and the National Civics Bee®, we’re making civics a national priority and inviting others to join us in strengthening the backbone of American democracy.”
About the Survey
The U.S. Chamber of Commerce Foundation’s Civic and Economic Literacy Study, conducted by RXN, surveyed 1,000 American adults online from June 2–9, 2025. The overall margin of error is ±3.1 percentage points. The study builds on the U.S. Chamber Foundation’s efforts to strengthen civic knowledge and engagement through The Civic Trust – a nonpartisan educational initiative focused on elevating civics in schools, workplaces, and communities.
About U.S. Chamber of Commerce Foundation
The U.S. Chamber of Commerce Foundation harnesses the power of business to create solutions for the good of America and the world. We anticipate, develop, and deploy solutions to challenges facing communities—today and tomorrow.
