Oh I believe it! Have you ever seen "Jaywalking" on the Tonight Show with Jay Leno? The segment where he goes out on the street, or often, to college campuses, and asks the most basic questions like, "What country did we drop an atomic bomb on in World War Two?" and respondents are dumbfouded?
I honestly think that most Americans under forty could probably name only five or six presidents including President King Jr. and President Benjamin Franklin --the dead "President" on the $100 bill!