Doing “everything right” — making all the optimal life choices to build wealth and get ahead, despite obstacles — is still not enough for black and Latino households to accumulate as much wealth as their white counterparts.
Donald Trump’s election came at the worst possible time in so many ways. In a spectacular litany of truly awful aims, including mass deportation of undocumented immigrants, repealing Obamacare, retracting federal oversight of abusive local policing, undoing Obama-era banking reforms, and much more, where does one begin to describe the damage he and the Republican Congress could do? But the threat Trump poses to our environment and particularly to our ability to escape the worst impacts of global warming is unparalleled.
Investing in a rapid transition to 100% renewable energy and clean transportation, while protecting environmentally vulnerable communities from the worst effects of climate change, comprise what is arguably the most important fiscal choice we have to make as a country over the next decade.
A point that climate change reports often fail to note is climate change will disproportionately harm people of color. People of color are overrepresented in the southern states, in the poorest counties, and among outdoor workers.
For those who believe Black people are already equal with white people, any policy that seeks to address anti-Black discrimination looks like an attempt to give Blacks an advantage.
Many Americans believe that we have achieved black-white racial economic equality, but the data continue to show that we have a long way to go. For centuries, we have had policies to help white families build wealth at the expense of black families.
The causes and effects of climate change are interwoven with racial, economic, and political inequity. Groups are building bridges across movements to address these intertwined, wicked problems.
In disasters, vulnerable communities face an environmental apartheid, absorbing the disproportionate burden of the impact. In recovery, they face discrimination.
The Green New Deal is a vision for comprehensive national policy that addresses climate change at the scale and scope we need, creates living-wage jobs, and addresses racial and economic inequity by investing in communities.
In the past 15 years the ramifications of poor credit have grown, as credit score "mission creep" has set in, said Amy Traub, a senior policy analyst with the New York-based think tank Demos and author of the recently released report "Discrediting America." Credit scores determine not just the interest rates paid on material goods, such as a cell phone or car, but also the pricing of utilities and insurance. Approximately 60 percent of employers use credit reports to screen job applicants.
Amy Traub, a senior policy analyst at watchdog group Demos, says that credit-based insurance scores hurt lower-income people more because they are more likely to have lower scores. She noted a study that showed while those with lower scores made more claims because they couldn't swallow the costs, the cost of those claims were not necessarily greater.
In its bombshell of a report “Discrediting America,” the nonpartisan public policy research group Demos sums up the problem for black and Latinos:
Credit reports largely mirror racial and economic divides, with African Americans and Latinos disproportionately likely to have lower scores. In turn, these communities are more likely to be offered high-priced loan products, which may contribute to more defaults, maintaining and amplifying historical injustice.
A combination of escalating student loan and credit-card debt, rising costs, slow wage growth and underemployment have accumulated debt "unmatched in modern history" undermining the economic security and financial health of young Americans aged 18-34, according to a new study.
The report, "Generation Broke: The Growth of Debt Among Younger Americans," was released by Demos, a nonpartisan, public policy group, based on the Federal Reserve's Survey of Consumer Finances as well as dozens of other sources.
“If you’re out of work for a long time, you have difficulty paying your bills,” says Amy Traub, coauthor of a June report from the think tank Demos that calls for reform of the credit reporting industry. “If potential employers are looking at credit scores, how on earth are you going to pay your bills then?”
What’s more, the credit bureaus themselves acknowledge there is no proof of a link between a person’s credit report and their suitability as an employee.
As tuition costs and enrollment rose through the 1990s, grant money did not keep pace, meaning students have been shouldering an ever-increasing share of their education costs. While before, most were able to finance their studies with grants and part-time work, loans are now inescapable for many.
"This generation is the first to shoulder the costs of their college primarily through interest-bearing loans rather than grants," Draut said.