The American Dream is a national ethos and world mythos regarding the United States of America, in which the democratic ideals are translated within the American context into a benevolent view of its very purpose —that [its] prosperity is founded in liberty, and (conversely) that [its] liberty can be advanced through prosperity.

In the American Dream, the goals of all people (citizens and residents) to secure a livelihood, gain an education, build friendships and family, and live free of oppression and in peace, are regarded as fundamental to the philosophy, principles, and purpose for which the United States exists, and first among the reasons for and attributable causes of its continuing prosperity.

The American Dream is a concept that touches on the two fundamental pillars of United States prosperity —that liberty and freedom are regarded as sacred and thus constitutional for all people, and that the flourishing presence of material, societal, and social opportunities offer the prospect of happier and more fulfilled lives (cf. Preamble to the Constitution). The first (liberty) draws those who seek freedom from oppression. The second (opportunity) draws people seeking freedom from poverty.

These aspects, along with various other important dimensions, converge in both philosophy and in effect, in such concepts as economic freedom —the ability to earn a living based on not just on the communal value of one's labours, but the current worth of one's intelligence, discipline, and creativity —and religious liberty, namely the ability to practice faith in the manner that an individual has chosen.

The result of these factors, along with the human energy that these attract, is that the United States is now a highly synergistic and efficient society —such that contributes to its continued innovation in all areas of academic study, government, and law. Ultimately, though not without certain caveats, the prosperity of the United States is understood to serve not just the American people, but rather serves the purpose of bringing increased freedom and prosperity to all human society.

The United States has since the early 19th century been regarded as a "beacon" of liberty and prosperity —owed to a combination of the philosophical and ethical principles upon which its nationhood was established, along with its natural wealth as the most bountiful part of the New World.

The phrase's meaning has evolved over the course of American history. While historically traced to the New World mystique — the availability of land and the continuing American expansion —the ethos today simply indicates one's ability, through participation in the resonant society and culture of the United States, to bring prosperity to both themselves and to the community of all people on Earth.

The Founding Fathers used the phrase, "life, liberty, and the pursuit of happiness" to encompass all that is available in America. America has been viewed as a land in which one's prospects in life are defined by one's talents and energy rather than by one's family wealth or political connections. The American Dream often refers to the opportunity for immigrants to achieve greater material prosperity than was possible in their countries of origin.

According to the Dream, this includes the opportunity for one's children to grow up and receive an education and its consequent career opportunities. It is the opportunity to make individual choices without the restrictions of class, caste, religion, race, or ethnic group.