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1. npx babel-upgrade --write
   1. this command scans through your configs and realigns the versions
2. npm install babel-loader@7.1.4
   1. change the installed version to 7.1.4
3. npm install babel-core
   1. installs the latest version of babel-core 6.26.3
4. npm install babel-preset-env

After the following above, we still had problems with version 7.  We went back to using create-react-app <app name>.  Before running this app run the command 

npm install -g create-react-app

This works fine and then you can modify the app.js accordingly.