Race- and gender-based wealth inequities are two of the greatest failures of the American economy. Economic policy choices and practices put forth by those in power, such as the GI Bill and redlining, created wealth-building opportunities for white men but established barriers for everyone else. Implemented in tandem with the rise of corporate power by which profit is revered over people, these racist policies have resulted in racial and gender economic stratification that have reached epic heights. Today, approximately 160,000 households in America own more wealth than the poorest 90 percent combined— the highest concentration of wealth since 1962 (Igraham 2017).
Without bold, visionary action and policies to address these issues, the chasm between those who are economically secure and those who are not—mainly Black, brown, and Native American communities and women—will continue to grow, ultimately threatening our nation’s ability to finally achieve our promise of freedom, dignity, and security for all.
Race- and gender-based wealth inequities are two of the greatest failures of the American economy.
A growing group of progressives is committed to tackling racial wealth inequities head on (Newkirk II 2019). Once seen as fringe, “pie in the sky” ideas, a number of seemingly progressive economic policies have entered the public discourse, including a government-funded cash benefit program. Often referred to as “guaranteed income,” this big idea is a no-strings-attached direct cash benefit from the government that would provide a basic floor of living regardless of employment status or income by offering people a regular cash payment (Marinescu 2017).
With that context, this issue brief will explore to what extent and under what type of design a program that is usually discussed as a way to boost regular incomes could make a dent in racial and gender wealth inequities.
Click here to read the full issue brief (PDF).