What my mother’s death taught me about money as an African American – Business Insider

My mother purchased her home on the south side of Chicago for $55,000 in 1986, the equivalent of $123,000 today.When she died without a will, court fees and fines left our family with just $40,500 — a loss of over $80,000 on the purchase price of her house.I realized that, because of our history, many African Americans haven’t learned how to transfer wealth generationally by making an estate plan.So, after my mother’s death, my husband and I drafted an estate plan, which we review annually around my mother’s birthday.

  • My mother purchased her home on the south side of Chicago for $55,000 in 1986, the equivalent of $123,000 today.
  • When she died without a will, court fees and fines left our family with just $40,500 — a loss of over $80,000 on the purchase price of her house.
  • I realized that, because of our history, many African Americans haven’t learned how to transfer wealth generationally by making an estate plan.
  • So, after my mother’s death, my husband and I drafted an estate plan, which we review annually around my mother’s birthday.

Full Article and Source: What my mother’s death taught me about money as an African American – Business Insider

Overdue reparations is the key to closing the racial wealth gap II Dr. William “Sandy”Darity

Overdue reparations is the key to closing the racial wealth gap

Dr. William Darity‘s congressional testimony lays a path to fix historic inequity that produces unequal outcomes for blacks

Dr. Willliam “Sandy” Darity, Samuel DuBois Cook Center on Social Equity at Duke University.

The case for black reparations must be anchored on three phases of grievous injustice inflicted upon enslaved blacks and their descendants. First is the atrocity of slavery itself.

The case for black reparations must be anchored on three phases of grievous injustice inflicted upon enslaved blacks and their descendants. First is the atrocity of slavery itself. Second are the atrocities exercised during the nearly century-long period of legal segregation in the U.S. (the “Jim Crow” era). Third are the legacy effects of slavery and Jim Crow, compounded by ongoing racism manifest in persistent health disparities, labor market discrimination, mass incarceration, police executions of unarmed blacks (de facto lynchings), black voter suppression, and the general deprivation of equal well-being with all Americans. Therefore, it is a misnomer to refer to “slavery reparations,” since black reparations must encompass the harms imposed throughout American history to the present moment — both slavery and post-slavery, both Jim Crow and post-Jim Crow — on black descendants of American slavery. It is precisely that unique community that should be the recipients of reparations: black American descendants of persons enslaved in the U.S.

Second are the atrocities exercised during the nearly century-long period of legal segregation in the U.S. (the “Jim Crow” era).

In a 2003 article written with Dania Frank Francis, and, more recently, in work written with Kirsten Mullen, we have proposed two criteria for eligibility for black reparations. First, an individual must demonstrate that they have at least one ancestor who was enslaved in the U.S. Second, an individual must demonstrate that for at least 10 years prior to the onset of the reparations program or the formation of the study commission, whichever comes first, they self-identified as black, Negro or African-American. The first criterion will require genealogical documentation — but absolutely no phenotype, ideology or DNA tests. The second criterion will require presentation of a suitable state or federal legal document that the person declared themselves to be black.

iStockphoto.

… it is a misnomer to refer to “slavery reparations,” since black reparations must encompass the harms imposed throughout American history to the present moment

I also recommend, like the Commission on Wartime Relocation and Internment of Civilians, the commission on reparations proposals commission should be appointed exclusively by the Congress. The commission appointees should be experts in American history, Constitutional law, economics (including stratification economics), political science and sociology. These appointees must have expert knowledge on the history of slavery and Jim Crow, employment discrimination, wealth inequality, health disparities, unequal educational opportunities, criminal justice and mass incarceration, media, political participation and exclusion, and housing inequities. The commission also should include appointees with detailed knowledge about the design and administration of prior reparations programs as guidelines for structuring a comprehensive reparations program for native black Americans.

Where do we go from here?

What would it take to bridge the black-white wealth gap?
A Q & A with Duke University economist William ‘Sandy’ Darity, who has some radical—yet doable—ideas
mlk50.com
Reparations well-intentioned, but insufficient for the debt owed
City of Memphis gives $50,000 each to the 14 living black sanitation workers from the 1968 strike
mlk50.com
The Loebs : Exploited black labor and inherited white wealth
Penny-pinching Loeb ancestors kept wages flat for 25 years as black laundresses did “miserable” work
mlk50.com

Source: Overdue reparations is the key to closing the racial wealth gap

Jim Crow South’s lynching of blacks and Christianity: The terror inflicted by whites was considered a religious ritual.

The cliché is that Americans have a short memory, but since Saturday, a number of us have been arguing over medieval religious wars and whether they have any lessons for today’s violence in the Middle East.

For those still unaware, this debate comes after President Obama’s comments at the annual National Prayer Breakfast, where—after condemning Islamic radical group ISIS as a “death cult”—he offered a moderating thought. “Lest we get on our high horse and think this is unique to some other place, remember that during the Crusades and the Inquisition, people committed terrible deeds in the name of Christ. In our home country, slavery and Jim Crow all too often was justified in the name of Christ … So this is not unique to one group or one religion. There is a tendency in us, a sinful tendency that can pervert and distort our faith.”

It’s a straightforward point—“no faith has a particular monopoly on religious arrogance”—that’s become a partisan flashpoint, as conservatives harangue the president for “equating” crusading Christians to Islamic radicals, accuse him of anti-Christian beliefs, and wonder why he would mention a centuries-old conflict, even if it has some analogies to the present day.

What we have missed in the argument over the Crusades, however, is Obama’s mention of slavery and Jim Crow. At the Atlantic, Ta-Nehisi Coates puts his focus on religious justifications for American bondage, and it’s worth doing the same for its post-bellum successor. And since we’re thinking in terms of religious violence, our eyes should turn toward the most brutal spectacle of Jim Crow’s reign, the lynching.

For most of the century between the two Reconstructions, the bulk of the white South condoned and sanctioned terrorist violence against black Americans. In a new report, the Alabama-based Equal Justice Initiative documents nearly 4,000 lynchings of black people in 12 Southern states—Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Texas, and Virginia—between 1877 and 1950, which the group notes is “at least 700 more lynchings in these states than previously reported.”

For his victims, “Judge Lynch”—journalist Ida B. Wells’ name for the lynch mob—was capricious, merciless, and barbaric. C.J. Miller, falsely accused of killing two teenaged white sisters in western Kentucky, was “dragged through the streets to a crude platform of old barrel staves and other kindling,” writes historian Philip Dray in At the Hands of Persons Unknown: The Lynching of Black America. His assailants hanged him from a telephone pole, and while “the first fall broke his neck … the body was repeatedly raised and lowered while the crowd peppered it with small-arms fire.” For two hours his corpse hung above the street, during which he was photographed and mutilated by onlookers. Finally, he was cut down and burned.

More savage was the lynching of Mary Turner and her unborn child, killed for protesting her husband’s murder. “[B]efore a crowd that included women and children,” writes Dray, “Mary was stripped, hung upside down by the ankles, soaked with gasoline, and roasted to death. In the midst of this torment, a white man opened her swollen belly with a hunting knife and her infant fell to the ground, gave a cry, and was stomped to death.”

These lynchings weren’t just vigilante punishments or, as the Equal Justice Initiative notes, “celebratory acts of racial control and domination.” They were rituals. And specifically, they were rituals of Southern evangelicalism and its then-dogma of purity, literalism, and white supremacy. “Christianity was the primary lens through which most southerners conceptualized and made sense of suffering and death of any sort,” writes historian Amy Louise Wood in Lynching and Spectacle: Witnessing Racial Violence in America, 1890–1940. “It would be inconceivable that they could inflict pain and torment on the bodies of black men without imagining that violence as a religious act, laden with Christian symbolism and significance.”

The God of the white South demanded purity—embodied by the white woman. White southerners would build the barrier with segregation. But when it was breached, lynching was the way they would mend the fence and affirm their freedom from the moral contamination, represented by blacks and black men in particular. (Although, not limited to them. Leo Frank, lynched in 1915, was Jewish.) The perceived breach was frequently sexual, defined by the myth of the black rapist, a “demon” and “beast” who set out to defile the Christian purity of white womanhood. In his narrative of the lynching of Henry Smith—killed for the alleged rape and murder of 3-year-old Myrtle Vance—writer P.L. James recounted how the energy of an entire city and country was turned toward the apprehension of the demon who had devastated a home and polluted an innocent life.”

James wasn’t alone. Many other defenders of lynching understood their acts as a Christian duty, consecrated as God’s will against racial transgression. “After Smith’s lynching,” Wood notes, “another defender wrote, ‘It was nothing but the vengeance of an outraged God, meted out to him, through the instrumentality of the people that caused the cremation.’ ” As UNC–Chapel Hill Professor Emeritus Donald G. Mathews writes in the Journal of Southern Religion, “Religion permeated communal lynching because the act occurred within the context of a sacred order designed to sustain holiness.” The “sacred order” was white supremacy and the “holiness” was white virtue.

I should emphasize that blacks of the era understood lynching as rooted in the Christian practice of white southerners. “It is exceedingly doubtful if lynching could possibly exist under any other religion than Christianity,” wrote NAACP leader Walter White in 1929, “No person who is familiar with the Bible-beating, acrobatic, fanatical preachers of hell-fire in the South, and who has seen the orgies of emotion created by them, can doubt for a moment that dangerous passions are released which contribute to emotional instability and play a part in lynching.” And while some church leaders condemned the practice as contrary to the Gospel of Christ—“Religion and lynching; Christianity and crushing, burning and blessing, savagery and national sanity cannot go together in this country,” declared one 1904 editorial—the overwhelming consent of the white South confirmed White’s view.

The only Southern Christianity united in its opposition to lynching was that of black Americans, who tried to recontextualize the onslaught as a kind of crucifixion and its victims as martyrs, flipping the script and making blacks the true inheritors of Christian salvation and redemption. It’s that last point which should highlight how none of this was intrinsic to Christianity: It was a question of power, and of the need of the powerful to sanctify their actions.

Still, we can’t deny that lynching—in all of its grotesque brutality—was an act of religious significance justified by the Christianity of the day. It was also political: an act of terror and social control, and the province of private citizens, public officials, and powerful lawmakers. Sen. Ben Tillman of South Carolina defended lynching on the floor of the U.S. Senate, and President Woodrow Wilson applauded a film that celebrated Judge Lynch and his disciples.

Which is all to say that President Obama was right. The vastly different environments of pre–civil rights America and the modern-day Middle East belies the substantive similarities between the fairly recent religious violence of our white supremacist forebears and that of our contemporary enemies. And the present divide between moderate Muslims and their fanatical opponents has an analogue in our past divide between northern Christianity and its southern counterpart.

This isn’t relativism as much as it’s a clear-eyed view of our common vulnerability, of the truth that the seeds of violence and autocracy can sprout anywhere, and of the fact that our present position on the moral high ground isn’t evidence of some intrinsic superiority.

Source: Jim Crow South’s lynching of blacks and Christianity: The terror inflicted by whites was considered a religious ritual.

Why So Many Organizations Stay White

WHY SO MANY ORGANIZATIONS STAY WHITE

Organizations are not race neutral. Scholars, managers, journalists, and many others routinely recognize “black capitalism,” “black banks,” and “ethnic restaurants,” yet we think of banks that are run by and serve whites simply as “banks” and white corporations simply as “businesses.”
This way of thinking reinforces the fallacy that only people of color have race, and obscures the broad, everyday dynamics of white racial power within organizations. Hiring for elusive notions of “fit,” locating operations in largely white communities, mandating dress and grooming rules rooted in European beauty standards, and expecting non-white employees to code-switch can all subtly disadvantage non-white employees. By leaving white organizations racially unmarked, it becomes difficult to explain why several decades of antidiscrimination and diversity policies ostensibly aimed at equalizing opportunity have done little to alter the overall distribution of organizational power and resources. Such organizational policies, while sometimes helpful in increasing minority representation, fail to address the racial hierarchies historically built into American organizations. Rather than asking how to bring diversity into the workplace, a better question is why so much power and organizational authority remain in white hands.

I argue that the idea of the race-neutral organization has done a great disservice to our understanding of race relations in the workplace, allowing scholars and practitioners to see racial exclusion as unfortunate aberrations or slight deviations from otherwise color-blind ideals. In reality (and even though we typically do not say this out loud), many mainstream American organizations have profited from and reinforced white dominance. Many still do. Understanding this context is vital to seeing organizations for what they really are: not meritocracies, but long-standing social structures built and managed to prioritize whiteness. Only then can leaders begin thinking differently about race — not as a temporary problem to solve or a box to check, but as a fundamental part of what it means to be a company in America. Only then can they have a better understanding of why their diversity efforts do so little to attract, retain, and promote people of color — and what they need to do to change that.

JUST HOW WHITE ARE ORGANIZATIONS?

The simplest way to think about organizational whiteness is through statistics. For example, black representation at the top of organizational hierarchies, as measured through CEOs in Fortune 500 companies, has decreased from six CEOs in 2012 to three today. Steady declines in minority representation at the helm of these businesses since their peak in the early and mid-2000s have led some scholars to claim that the “heyday” of dedicated diversity efforts has ended. University presidents remain mostly white (and male) despite rapidly diversifying student demographics, and academic hierarchies remain deeply stratified by race, with black men and women, respectively, making up just 2% of full-time professors above the rank of assistant. Black gains among public-sector employees — the economic sector responsible for much of the growth of the black middle class following the reforms of the civil rights era — have begun to disappear since the adoption of private-sector policies that have increased managerial discretion and loosened worker protections. A recent meta-analysis of field experiments — the gold standard for detecting discrimination, because other potentially explanatory factors are accounted for — shows that high levels of hiring discrimination against black men have remained relatively constant since the late 1980s, and discrimination against Latinos has decreased little. And despite some progress diversifying within individual firms, between-firm segregation has increased over the past 40 years and Fortune 500 boards remain 83.9% white.

Full Article and Source: Why So Many Organizations Stay White  

HBR

Undercover investigation reveals evidence of unequal treatment by Long Island real estate agents II Newsday Discrimination Testing

We sent white, black, Hispanic and Asian testers undercover to see if they would be treated equally by LI real estate agents. Many were not.

In one of the most concentrated investigations of discrimination by real estate agents in the half century since enactment of America’s landmark fair housing law, Newsday found evidence of widespread separate and unequal treatment of minority potential homebuyers and minority communities on Long Island.

The three-year probe strongly indicates that house hunting in one of the nation’s most segregated suburbs poses substantial risks of discrimination, with black buyers chancing disadvantages almost half the time they enlist brokers.

Additionally, the investigation reveals that Long Island’s dominant residential brokering firms help solidify racial separations. They frequently directed white customers toward areas with the highest white representations and minority buyers to more integrated neighborhoods.

They also avoided business in communities with overwhelmingly minority populations.

From the editor

The findings are the product of a paired-testing effort comparable on a local scale to once-a-decade testing performed by the federal government in measuring the extent of racial discrimination in housing nationwide.

Regularly endorsed by federal and state courts, paired testing is recognized as the sole viable method for detecting violations of fair housing laws by agents.

Two undercover testers – for example, one black and one white – separately solicit an agent’s assistance in buying houses. They present similar financial profiles and request identical terms for houses in the same areas. The agent’s actions are then reviewed for evidence that the agent provided disparate service.

Newsday conducted 86 matching tests in areas stretching from the New York City line to the Hamptons and from Long Island Sound to the South Shore. Thirty-nine of the tests paired black and white testers, 31 matched Hispanic and white testers and 16 linked Asian and white testers.

Newsday confirmed that agents had houses to sell when meeting with testers based on analyses provided by Zillow, the online home search site. Zillow draws an inventory of available homes daily from the Multiple Listing Service of Long Island, the computerized system used by agents to select possible houses for buyers. MLSLI said that it does not maintain its own database of past daily inventories, as Zillow does, and so could not provide the same type of tallies. As permitted by law, all tests were recorded on hidden cameras to ensure accuracy in describing interactions between agents and customers.

Source: Undercover investigation reveals evidence of unequal treatment by Long Island real estate agents

Against Black Homeownership | Boston Review II KEEANGA-YAMAHTTA TAYLOR

RACE

Against Black Homeownership

The real estate market is so structured by race that black families will never come out ahead.

KEEANGA-YAMAHTTA TAYLOR

Image: Flickr

In January 1973, George Romney, Nixon’s enigmatic Secretary of Housing and Urban Development, administered an open-ended moratorium on its 1968 initiatives to open up single-family homeownership to low-income borrowers by providing government-backed mortgages. The experiment to make homeownership accessible to everyone ended abruptly with massive foreclosures and abandoned houses, but the questions ignited by these policies persisted. Some analysts insisted that the failure of HUD’s homeownership programs was proof positive that poor people were ill equipped for the responsibilities of homeownership. African Americans experience homeownership in ways that rarely produce the financial benefits typically enjoyed by middle-class white Americans.And they insisted that it more specifically implicated low-income African Americans as “incapable” homeowners. Others pointed to HUD’s obvious mismanagement of these programs as the real culprit in their demise, and, importantly, how the programs gave an industry already known for its racial bias new opportunities to exploit low-income African-Americans. But the lessons from HUD’s experiment were muddled by other economic sensibilities, including the commitment to private property and the centrality of homeownership to the American economy.

Today, homeownership, even for low-income and poor people, is reflexively advised as a way to emerge from poverty, develop assets, and build wealth more generally. The historic levels of wealth inequality that continue to distinguish African Americans from whites are powerful reminders of how the exclusion of Blacks from this asset has generationally impaired Black families in comparison with their white peers. Owning a home as a way to build wealth is touted as an advantage over public or government-sponsored housing. It grounds the assumption that it is better to own than rent. And the greatest assumption of all is that homeownership is the superior way to live in the United States. This, of course, is tied to another indelible truth that homeownership is a central cog in the U.S. economy. Its pivotal role as an economic barometer and motor means that there are endless attempts to make it more accessible to ever-wider groups of people. While these are certainly statements of fact, they should not be confused as statements on the advisability of suturing economic well-being to a privately owned asset in a society where the value of that asset will be weighed by the race or ethnicity of whoever possesses it.

The assumption that a mere reversal of exclusion to inclusion would upend decades of institutional discrimination underestimated the investments in the economy organized around race and property. The concept of race and especially racial inferiority helped to establish the “economic floor” in the housing market. One’s proximity to African Americans individually, as well as to their communities, helped to determine the value of one’s property. This revealed another reality. Markets, as in the means by which the exchange of commodities is facilitated, do not exist in vacuums, nor do abstract notions of “supply and demand” dictate their function. Markets are conceived and constituted by desire, imagination, and social aspirations, among other malleable factors. This does not mean that markets are not real, but that they are not shaped by need alone. They are shaped by political, social, economic, and in the case of housing, racial concerns. And in the United States, these market conditions were shaped and stoked by economic actors that stood to gain by curtailing access to one portion of the market while then flooding another with credit, capital, and indiscriminate access to distressed and substandard homes.

HUD’s crisis in its homeownership programs in the 1970s reveal deeper and more systemic problems with the pursuit of homeownership as a way to improve the quality of one’s life. It is undeniable that homeownership in the United States has been “one of the important ways in which Americans have traditionally acquired financial capital” and that the “tax advantages, the accumulation of equity, and the increased value of real estate property enable homeowners to build economic assets. . . . These assets can be used to educate one’s children, to take advantage of business opportunities, to meet financial emergencies, and to provide for retirement.” Investment in homeownership, and its role in the process of the personal accumulation of capital, has been fundamental to the good life in the United States.

Full Article and Source: Against Black Homeownership | Boston Review

What is the Black Church’s Role in Advancing African American Wealth? – Black Enterprise

Does the black church still have a major impact on economic, political, and social progressions of African Americans today?

“Professor Eddie Glaude Jr. wrote a piece a few years ago, asserting “the Black Church, as we’ve known it or imagined it, is dead.”

Some claim that the black church isn’t doing enough to assist with the economic, social, and political progress of the black community.

The Michigan Chronicle recently took a look at research reporting that well over $420 billion had been donated to the black church as of 2013—a figure which averages out to at least $12 billion–$13 billion per year.

simple tips

(Image: iStock.com/pixelheadphoto)

 

WHERE DID THE MONEY GO?

The question then turned into the whereabouts of the money donated and whether it had been spent to help progress the economic, social, and political stances of African Americans?

Leadership Network releases reports every year on the current trends in megachurches and other data on churches in general. They find that the largest 7% of churches contain nearly 50% of all churchgoers. Furthermore, they find that nearly 100% of church revenue comes in the form of donations and nearly 60% of said church revenue goes to staffing-related costs. Based on this data, it could be argued that the monies donated to churches in general, which includes the black church, are being used mainly to compensate the individuals who are directing, performing, and managing the church organization, rather than being spent to feed the poor as Proverbs 22:9 says.

SHOULD THE DONATIONS BE RE-DIRECTED DIRECTLY INTO BLACK COMMUNITIES?

Various bloggers and commentators have suggested that the $12 billion to $13 billion per year going to black church donations could have been reinvested to buy hundreds of thousands of dollars in black homes; send over 1 million black students to college, and feed literally every black homeless person for a number of years. This amount of reinvestment would also assist “Buying Black Expert” Maggie Anderson with her efforts to redirect black dollars into more productive measures in the black community; to assist with creating more black jobs.

SHOULD PORTIONS OF THE DONATIONS BE RE-DIRECTED DIRECTLY TO THE GOVERNMENT?

In addition, based on the Leadership Network data along with similar data, it has been argued throughout the years that churches should no longer benefit from 501(c)3 tax exemption status, as taxing the church revenues would bring nearly $20 billion or more into the federal government every year.

race matters

Image: iStock.com/br-photo

ABSENCE DURING POLITICAL PROGRESSIONS

Others, including sympathizers of the Black Lives Matter (BLM) movement, also believe that the black church is not aiding “enough” in efforts for political and social progression. On the heels of major media cases of unarmed black men being killed by police, many in the BLM Movement believe that the black church’s presence hasn’t been displayed enough to help combat in the fight against police brutality. This is in comparison to the role of the black church during the civil rights movement, where its voice was heard loud and clear in the fight for progression, along with its temple used for networking and strategy sessions within the African American community.

All of these discussions and reports continue a debate revolving around the present-day impact of the black church and if the black church still truly matters in terms of the economic, social, and political advancement of African Americans?

Source: What is the Black Church’s Role in Advancing African American Wealth? – Black Enterprise