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affordable housing
The Best Black Economy in Generations Isn’t Enough
To overcome centuries of inequality, we’ll need dedicated public policy such as Investment in quality education, access to affordable healthcare, affordable housing, job creation, and Baby Bonds.
Sep 04, 2024
As the country moves rapidly toward the 2024 elections, Black Americans are experiencing the best economic conditions they’ve had in generations. Record low unemployment rates, record low poverty rates, and record high levels of income and wealth paint a picture of Black prosperity.
Yet African Americans remain mired in great economic insecurity, reflected in their low opinion of the economy, widespread asset poverty, and ongoing economic inequality between Black and white households.
The best Black economy in generations, in short, isn’t enough. To overcome centuries of inequality, we’ll need dedicated public policy.
Black median income today is still nearly $30,000 lower than the white median—it’s not even caught up with the white median income of 1972.
Let’s look at some numbers from a new report we put out for the Joint Center and the Center for Economic and Policy Research.
From 1972 to 2022, the annual Black unemployment rate averaged 11.6%. Last year, it averaged 5.5%, a historic low. That’s good news, but it’s barely put a dent in the gap between Black and white employment.
We calculate that Black America would need an additional 1.4 million jobs for Black people to be employed at the same rate as white people. This employment gap cost Black Americans roughly $60 billion last year compared to what they’d have made if those jobless individuals were working.
So for African Americans, the racial employment divide remains quite costly. Other indicators tell a similar story.
For example, Black median household income is also at its highest point in a generation, growing from about $41,000 in 2011 to nearly $53,000 in 2022—a nearly 30% increase. That same year, median Black wealth also reached a new high of nearly $45,000, more than double the post-Great Recession low of about $17,000.
Still, Black median income today is still nearly $30,000 lower than the white median—it’s not even caught up with the white median income of 1972. And the average Black median wealth of about $45,000 means the vast majority of African Americans fall well short of the $190,000 to $570,000 estimated as necessary to reach middle-class status.
Will these disparities correct themselves on their own? Not likely.
As the Institute for Policy Studies and the National Community Reinvestment Coalition found in their 2023 “Still A Dream” report, the nation is still moving at a glacial pace when it comes to bridging Black/white economic inequality. If the country continues at the rate it’s been moving since the 1960s, it will take over 500 years to bridge the racial income gap—and nearly 800 years to bridge the racial wealth gap.
So while Black Americans are experiencing significant economic gains, these advances are insufficient to overcome entrenched inequalities. The economic progress we see today is a foundation, not a finish line. It speaks to the need for comprehensive policies that address ongoing barriers to economic security and wealth-building.
Investment in quality education, access to affordable healthcare, affordable housing, job creation targeted to high-unemployment communities, and new publicly financed asset building opportunities like Baby Bonds are essential. These measures can help ensure that the economic gains of today translate into sustained prosperity and security for future generations.
As we approach the presidential election, let’s not make this election a contest between individuals but of policies that can heal our deep wounds of racial and economic inequality.
Addressing these issues with urgency and commitment will not only improve the economic outlook for Black Americans—it will create the basis for a more united country.
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How Harris and Walz Can Win Big at the DNC
By committing to three critical areas—housing affordability, green jobs, and a new direction in foreign policy—they can offer a vision of a fairer, more prosperous, and more just America.
Aug 17, 2024
The Democratic ticket of U.S. Vice President Kamala Harris and Minnesota Gov. Tim Walz is sparking a level of enthusiasm among party supporters and the general American public reminiscent of former President Barack Obama's transformative election in 2008. This excitement is palpable, driven by a combination of Harris' historic candidacy and Walz's grounded Midwestern appeal, on top of their strong records and qualifications.
Yet, maintaining this momentum requires more than charisma, qualifications, and historical firsts; it demands a robust policy platform that addresses the urgent needs of Americans and reflects the core values of the Democratic base.
This election will ultimately come down to turnout of the Democrat's working-class base. Harris signaled she understands this through her selection of Walz as her running mate, over "safer" bets more appealing to conservatives in swing states.
As Democrats gather in Chicago, the Harris/Walz ticket has a golden opportunity to present a bold, transformative platform that can energize the party and win big.
But for many "base voters" struggling to make ends meet, an exclusively anti-Trump message simply wonʻt cut it. Our communities are looking for common-sense solutions to the most fundamental problems we face. As the Democratic National Convention approaches in Chicago, it's crucial that the Harris/Walz ticket prioritizes three key pillars to solidify, expand, and energize their support base to show up big through November.
1. Cut the Cost of Living and Make Housing Affordable
Across the nation, Americans are grappling with rising housing costs that are increasingly out of step with their incomes. For too many, the dream of homeownership—or simply the security of affordable rent—is slipping away. The Democratic platform must commit to bold measures that ensure housing is not a privilege of the rich but a right accessible to all. This includes expanding funding for affordable and social housing projects, offering incentives for cities and states to cut red tape that hinders construction, and implementing rent controls to keep predatory landlords in check. By making housing affordability a cornerstone of their campaign, Harris and Walz can address a fundamental source of economic anxiety for millions.
2. Invest in Union Jobs, Public Infrastructure, and the Environment
The climate crisis poses one of the greatest threats to our health and safety. Tackling this issue head-on presents an opportunity to revitalize the American economy and workforce. While the historic Inflation Reduction Act and the Bipartisan Infrastructure Act represent a solid step, the Harris/Walz ticket must champion further public investments that not only aim to drastically reduce carbon emissions but also transform our food and transportation systems. These initiatives should be designed to create high-paying, unionized jobs that provide lasting employment across the country. Furthermore, environmental justice must be at the forefront of this plan, ensuring that communities historically impacted by pollution and climate change are the first to benefit from these new opportunities.
3. Promote Peace and Diplomacy Abroad
Foreign policy is often a contentious and overlooked area of presidential platforms, but this year, it's risen to a deciding factor for the super majority of likely Democratic voters in key states. The ongoing conflict in Gaza and the substantial U.S. military support for Israel demand urgent reevaluation. Harris and Walz should courageously pivot U.S. foreign policy by advocating for a cessation of arms sales to Israel, focusing on diplomatic resolutions to the conflict, and underscoring the importance of human rights and international law. This stance would not only align with the values of a significant portion of the Democratic base but also position the United States as a leader in ethical foreign policy.
As Democrats gather in Chicago, the Harris/Walz ticket has a golden opportunity to present a bold, transformative platform that can energize the party and win big. By committing to these three critical areas—housing affordability, green jobs, and a new direction in foreign policy—they can offer a vision of a fairer, more prosperous, and more just America. This is the path to not just winning an election, but to making historical progress that will resonate for generations to come.
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The US Has a Housing Crisis, Not a Squatting Crisis
The real estate lobby is using its power to advance a flurry of anti-squatter bills to push back against tenant protections enacted in the early years of the Covid-19 pandemic. Lawmakers should not take the bait.
Aug 11, 2024
Alabama, Tennessee, and Florida’s new anti-squatter laws all went into effect in the last two months, the latest exhibit of the real estate industry’s influence in American politics. In this year alone, at least 10 states have considered legislation that revokes tenancy rights, making squatting—when someone moves into a vacant building or onto uninhabited land—a criminal matter instead of civil one.
While the fear-mongering around squatting started as a right-wing talking point, now anti-squatter bills have passed in several states with bipartisan support. Earlier this year, in New York, where Democrats dominate politics, Gov. Kathy Hochul and several state legislators took a victory lap after passing a budget bill that declared that squatters don’t have the same rights as tenants, and to support property owners statewide.
Some would assume that these legislative actions were taken in response to a threat of a mass takeover of homes in cities across the country. But in reality, as many experts have rightly pointed out, squatting is extremely rare. A threat does exist, which is why we’re seeing a rise in this legislation. It’s just not to property owners. It’s to the power of the real estate lobby.
The manufactured crisis around squatters is meant to distract from the fact that over half of Americans struggle to pay their rent or mortgage every month.
As outlined in a new report by the Private Equity Stakeholder Project and others, the real estate lobby is a sprawling, interconnected group of representatives from the top corporate apartment owners and managers in the country, who—by having members sit on each other’s boards—can tap into an enormous shared pool of resources that they’re using to destabilize communities across the country.
The lobby is using this power to advance a flurry of anti-squatter bills to push back against tenant protections enacted in the early years of the Covid-19 pandemic. This was a time when millions of people in the United States were kept in their homes thanks to policies like rental assistance expansion and foreclosure and eviction moratoria. For many of us, it was the first time we witnessed our country recognize the public health and economic value of keeping people in their homes. These protections made clear that regardless of race, class, or housing tenure, housing stability is the foundation for thriving communities.
Now, real estate industry groups, the second biggest lobbying spender in the U.S., are using anti-squatter legislation in a desperate attempt to undercut that progress. Capitalizing on America’s heightened anxiety about the housing crisis, they are scaring people into believing that tenant protections come at the expense of homeowners. Lawmakers should not take the bait.
At best, these bills are reactionary responses to a problem that doesn’t exist. At worst, they represent the worst of election season fear-mongering: anti-immigrant sentiment, dog-whistle racism, and calls for law and order. Look no further than the Florida attorney general’s celebration of legislation declaring that immigrants were taking over homes across the state, based on a viral TikTok. In reality, most states already have laws that address squatters adequately—it’s tenant protections that remain significantly weaker relative to property rights.
Advancing anti-squatter legislation is a slippery slope to eroding eviction protections passed during the last few years, and that’s exactly what the real estate lobby wants: They themselves refer to squatter legislation as “eviction policy.” Clearly, they are hoping to put legislators on a path to repealing hard-fought regulations to protect tenants by inferring a false equating of squatters (who live in vacant properties without legal agreements) and tenants (who legally inhabit homes with leases).The bills put any resident with tenant or ownership interest at risk of immediate displacement, often by a law enforcement agency, without the normal requirement of notice, proof, and judicial review before someone is removed from their home.
But their efforts to undo these gains won’t be easy, because the tide has turned in support of tenant protections as a way to address our housing crisis. In poll after poll, people in the United States say they want to see governments take action to alleviate the cost of housing. This has quickly become a front-burner issue for Americans and a top priority for them in the presidential election, only second to inflation. A recent survey of voters in battleground states found that 82% of renters believe that, if addressed, the cost of rent and housing would make their personal situation better.
The manufactured crisis around squatters is meant to distract from the fact that over half of Americans struggle to pay their rent or mortgage every month. And that a tenant-led movement to change this reality is building political power, winning local elections, and influencing federal policy.
Considering this, one can see why the real estate lobby, which amassed over $2.5 billion in revenue during the height of the pandemic, is grasping at straws to stay relevant to legislators. While it’s trying to ramp up efforts to unravel tenant protections, the lobby itself—the National Association of Realtors (NAR)—is unraveling. From Department of Justice investigations and anti-trust lawsuits to sexual harassment allegations, and a musical chairs of presidents and CEOs in the last two years, members are not happy. In October 2023, Redfin announced it would require many of its brokers to cancel their NAR memberships and stop paying dues. Reports of NAR running out of liability insurance coverage and rumors of real estate moguls starting alternative associations show cracks in a foundation that will be difficult to repair. No amount of fresh paint, even if it is in the form of throwing tenants under the bus, can fix such dysfunction. But they’ll try as long as they can.
As America increasingly becomes a nation of renters, lawmakers can’t lose sight of the bigger picture: We have a housing crisis, not a squatter crisis. Millions of people calling on leaders to alleviate their suffering cannot afford to be sold out with this distraction. Lawmakers should pass policies that we know advance housing stability, instead of doing the bidding of those attacking it.
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