The Brandeis's Institute on Assets and Social Policy reviewed data from the years 1984 to 2007. The results while not surprising are disturbing if you are African American in America and thought that as a group, the wealth gap was closing.
Their report mentions that one quarter of African American families do not have any financial assets to protect themselves from financial ruin. The average white family now has accumulated $95,000 more in total wealth than the average African-American family.
The Brandeis institute's report also has reported why the wealth gap has grown 375% in the last 23 years.
*Public Policies - tax cuts on investment income, inheritances, redistribution of wealth and opportunities
*Tax Deductions - home mortgages, retirement accounts, and college savings - These tax deductions tend to benefit wealthier families.
*Discrimination - housing, credit, and labor markets - For example, African Americans and Hispanics were at least twice as likely to receive high cost home mortgages as whites with similar incomes. These reckless high cost loans unnecessarily impeded wealth building in minority communities and triggered the foreclosure crisis that is wiping out the largest source of wealth for minorities.
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