Study Shows African American Economic Crisis

The State of Black America 2006: The Opportunity Compact report was compiled and analyzed against the backdrop of one of the most catastrophic events to ever befall our nation. Hurricanes Katrina and Rita exposed in the starkest and most depressing terms, the race and class gaps that represent our national condition and facts which previous State of Black America reports have anticipated.

In 2006, the fact that the story is no better is a story in itself. This year, the Equality Index, a statistical measurement of disparities or “equality gaps” between blacks and whites across health, education, economics, social justice and civic engagement, revealed that the economic status of African Americans is 56 percent that of White Americans. Comparing factors such as income, unemployment, home ownership, business ownership, median net worth, and poverty rates, the economic status of Blacks is one percent worse than just a year ago.

Some would argue that given the destruction and poverty witnessed during Katrina, we should not be surprised. But given the growing stock market index with a national economic rebound afoot, why is A Black America not only lagging behind, but losing ground?

The cause is multifaceted. Some social commentators argue that the problem with African American economic progress is both historical and systematic in nature. Others will profess that it’s social and endemic; the fault of lost ambition and ambivalence.

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