Thursday, March 18, 2004
Wealth passes down from generation to generation. The main reason African Americans are currently worse off than whites, according to Shapiro, is that today's African Americans inherited less wealth from their parents than today's whites did. It is not hard to see why: The generation of African Americans now passed away accumulated less wealth because discrimination in their day kept most of them poor and denied them opportunities other Americans enjoyed.
The disparity in wealth not only persists, it mushrooms. Without a cushion of inherited wealth, emergencies hit harder, and people who have no nest egg have to let opportunities pass by. Because of the wealth deficit, African Americans find themselves more vulnerable to shocks and less able to capitalize on breaks than whites with the same income. So the next generation will inherit less, too. The wealth gap will not close anytime soon.
On this topic I also recommend. Being Black and Living in the Red