The Financial Struggle Continues: Group of Scholars Predict Bleak Economic Future For Blacks

February 6, 2013  |  

A job fair for veterans. AP Photo/Mark Lennihan

Things aren’t looking too rosy for black Americans and their economic status, despite the fact African American spending power is expect to reach $1.1 trillion by 2015.

A group of scholars met for the African American Economic Summit at Howard University on Friday and they predicted  “an alarming picture of the financial ills afflicting the black community even as the nation recovers from the recession,” reports The Washington Post.

Currently the white-black wealth disparity is more than 20 to 1; black homeownership has decreased; and more African Americans are unemployed, meaning income is down. While the economy has been showing signs of recovery, with recent jobs reports showing improvement, unemployment for blacks remains at 13.8 percent. The group of gathered scholars acknowledge that President Obama entered office during the worst economic situation since the Depression. But some think the President needs to more directly address issues of race.

“We are basically talking about an economic system that is shot through with discrimination,” said Bernard E. Anderson, a former assistant secretary of labor, during the meeting. He added that it seemed President Obama had yet to address economic disparities between blacks and whites. “He does not want to be labeled a president who is consumed by racial inequality in this country,” said Anderson, who has previously met with Obama’s economic advisers.

The attendees did not just talk about the problems, they also offered far-reaching, if politically unlikely, policy prescriptions, reports the newspaper. Among the ideas floated was one by Duke University professor William A. Darity Jr., who said policymakers should pursue a large-scale public jobs program to dramatically lower unemployment. Darrick Hamilton, an economist at the New School, added that the government should divert some of the money used to fund the income-tax deduction for mortgage interest to fund “baby bonds” that would provide $15,000 for disadvantaged newborns of any race to invest later in higher education, a business, or a home.

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  • Jesse James

    This article is bogus. The thing not putting food on the table of Black_America is their total reliance on government subsidies for everything.

    Education is sucking you say? Tell the gubermint to do something!

    We discovered that Black-AAemricans can do business!!! Tell the gubermint to do something!

    Black-Americans face terrible consequences in their financial future! Tell the gubermint to do something!

    It is always the government. No jobs, government jobs. No education achievement, government education programs. No black businesses doing well in an area, government assistance. A women robbed her children of black fathers, don’t tell her to stop, tell the governemnt to give her free education, free business subsidies, free daycare, free housing, free food, free, free, free, free, free!

    For the love of God, don’t tell anyone of any race anymore to actually accept that life may not be fair, but it does not prohibit you from making your own opportunities! No, just wait for government to save you.

    I truly hope for black Americans that the government is your friend. For if it ever fails, I would not want to live in the inner cities.

  • Pingback: New Study Says African-American Businesses Are Growing | i360 (The Diversity Business Network)()

  • hazdrabal

    Beyond the headline, everything written was intellectually dishonest or a flat-out lie, starting with the assertion that we aren’t in a severe depression. Very slick, concealing the soup and bread lines with ebt cards, though. 50 million Americans in these hidden bread and soup lines.

    • SMHgurl24

      Preach preacher!!! Denial ain’t putting food on the table or bill money in our pockets