Diversity, Equity, Inclusion & Belonging: Racial Wealth Gap
On this episode of Financially Naked: Stories from The Financial Gym, our host is Rachel Adaline, HR Manager at The Financial Gym, and she is joined by Bevin Morgan, Level 2 Certified Financial Trainer. The Gym has a Diversity, Equity, Inclusion, & Belonging Program. As a way to share more of that internal program with the community, the last episode of each month on the show is dedicated to a financial topic with a DEIB twist.
Today’s topic is The Racial Wealth Gap. Bevin has a background in economics and has carried that interest throughout her career. As a Black Woman in America and working with many Black clients at The Gym, understanding the larger systematic layers contributing to the racial wealth gap on a deep level became Bevin’s passion.
This topic is complicated and can be contentious. Today’s episode is a conversation and overview of the racial wealth gap as a starting point to explore further.
Podcast Notes
Different wealth gaps exist in America; one of the largest is the racial wealth gap. What is the racial wealth gap?
When we look at the US population, Black Americans hold only 10% of the wealth of white Americans.
This separation in wealth has been built into our system for hundreds of years. It links back to 1619, when the first African person was brought to this country, to Jim Crow laws, to Black soldiers not getting benefits. The goal was to strip away wealth and wealth-building tools.
Everyone has unique challenges in life, and we all struggle. Privilege is a unique concept in how we talk about it; we all have our own privileges.
When we see a big problem, we want to fix it. But these are large systematic issues, so there is no quick fix or instant solution.
One big step is reflecting on our world and asking ourselves, do we want to live in an equitable world? It’s really easy to say, ‘Yes,’ but actually think and research what that looks like, and sit with those feelings.
These huge changes are an opportunity to think about the world and create something that works for all of us.
The way capitalism works, the people with capital will continue to earn more.
The way to move forward is literally to rethink how we choose to live our lives in this country and on this planet. It’s a huge undertaking, but people are doing the work. There are some ideas out there.
Introducing negative interest rate currency in the economy. This system referrs to money with an expiration date, encouraging folks to spend it and circulate it rather than save and hoard it.
A solidarity economy is about cooperative economics. This includes co-ops and profit-share style businesses. As the business earns more, the workers earn more.
Universal free Pre-K and Community College. This is something being explored by the current administration. This would give parents more free opportunities for their young children to attend school while working. It would also give folks access to basic college credits at a free community college program.
Baby bonds. The US government would give each baby born a bond that no one can touch until that person turns 18. Depending on the wealth level of the family, the child would receive additional bonds until age 18.
If we truly want to achieve equity in this country, we must try something different.
If you have any questions, leave a comment or email trainerpodcast@fingyms.com
Resources mentioned in the episode:
NACA - https://www.naca.com/
Junior Achievers - https://jausa.ja.org/programs/index
Read Octavia Butler - https://www.octaviabutler.com/
From Here to Equality, Second Edition | William A. Darity Jr. | University of North Carolina Press
Yard Sale Model - Why the super-rich are inevitable
Solidarity Economy - U.S. Solidarity Economy Network