wealth gap

The National Weather Service estimates that Hurricane Florence dropped over 8 trillion gallons of rain across North Carolina, and the Federal Emergency Management Agency (FEMA) has just started evaluating how much damage was done. While Hurricane Florence and other natural disasters impact thousands of lives every year, not all groups recover equally. Recent research reported by Mic reveals that non-white households tend to lose wealth after a natural disaster, while white households often profit.

Tracking families from 1999 to 2013, sociologists Junia Howell and Jim Elliot found that white families in the most disaster-hit counties gained $126,000 in wealth on average over the 14 years of the study. By contrast, Back, Latinx, and Asian families in the same counties lost $27,000, $29,000 and $10,000 respectively. “Put another way, whites accumulate more wealth after natural disasters while residents of color accumulate less,” Elliot explained.

After a natural disaster, FEMA provides grants and low-interest loans to offset the cost of property damage. While it would make sense that federal disaster relief would mitigate racial disparity, Howell and Elliot’s research shows that it actually makes it worse. Counties receiving the most FEMA aid experienced the starkest widening of the racial wealth gap. Black families in counties that received the least FEMA aid accumulated $82,000 more wealth on average than Black families in counties that received the most aid. The researchers tried to explain this puzzling finding:

“Based on previous work on disasters such as hurricanes Katrina and Harvey, we know FEMA aid is not equitably distributed across communities … When certain areas receive more redevelopment aid and those neighborhoods also are primarily white, racial inequality is going to be amplified.”

In other words, one potential explanation for this trend is that white communities within counties receiving federal aid tend to receive more investment for rebuilding after a disaster than non-white communities in the same county. And with climate change increasing the frequency and intensity of natural disasters, this discovery implies worsening racial wealth gaps in the future. However, Howell and Elliot see reason to be hopeful,

“The good news is that if we develop more equitable approaches to disaster recover, we can not only better tackle that problem but also help build a more just and resilient society.”

According to British researchers, tall men and thin women are most likely to make the big bucks. Meanwhile, they found evidence to suggest overweight workers, especially women, are likely to get paid less. Still, sociologist Amy Blackstone says companies probably aren’t intentionally penalizing employees based on height and weight.  

In an interview with Broadly, Blackstone points to gender biases that extend beyond the workplace. Culturally, Americans associate thinness with beauty and self-discipline in women and tallness with authority for men. “For women, being thin means taking up less space, something that is expected of women both literally and symbolically,” Blackstone says. Thus, it’s no surprise that pay reflects societal views about gender, power, and the body. Nor is it a surprise that other gender inequalities make their way into work spaces, like limitations on contraception coverage in employer provided health care and a lack of paid maternity leave. As contributing editor Diana Tourjee points out, “paying certain men and women less in relation to the way they look is obviously disturbing, but worse is the realization that this data is part of a broader system of oppression that structures the lived experiences of us all.”

Income inequality is a hot topic this election, and the Panama Papers have added fuel to the fire. Indeed, it seems that there’s no end to the data that shows the discrepancy between the 1% and the rest of us. What will it to start seeking solutions to extreme income disparities?

New research by TSP contributor Kevin Leicht of Urbana Champaign (available in an article in The Sociological Quarterly) points us in the right direction. As he explains in an interview with The Atlantic’s Gillian B. White, the way social scientists and others conceptualize inequality is too tied to trying to increase diversity at the top rather than studying the economy as a whole. Furthermore, while we’ve been very interested in inequality by race, we don’t do enough to consider gender inequalities, particularly as they exist within racial groups. The popular narrative is that hard work can jettison anyone to the top, but research like Leicht’s shows how outdated this notion is.

To read more of Leicht’s work, see his TSP papers, “Has Borrowing Replaced Earning?”, “Economic Decline and the American Dream,” and “Old Narratives and New Realities,” or check out our volume on the new sociology of debt, Owned.

In an era of “post­-racial” rhetoric, whites may not openly declare their prejudices and biases toward blacks and other racial and ethnic minorities, yet sociological research illustrates how whites may both consciously and unconsciously maintain and reproduce racial segregation in schools and neighborhoods. More subtle negative racial attitudes are persistent and pernicious. A recent article in The Atlantic showcases a few of sociologies most relevant studies on whites and racial segregation that challenge the myth of a post­-racial America.

The white family is essential for the transferring and maintaining of economic wealth. Sociologist Thomas Shapiro notes that middle­class white families use their financial resources to pay for kids’ college or housing payments, thus alleviating some of the financial burden from younger generations. Racial segregations is also reproduced in this process when whites invest in neighborhoods that provide access to majority white schools. Due to the wealth gap, most blacks do not hold the privilege of supporting younger generations with existing financial wealth. Instead, researchers report they are more likely to use more limited funds to support their own parents and additional extended family members.

The work of sociologists including Mary Pattillo, Douglas Massey, and Nancy Denton has further demonstrated that blacks are not geographically located in neighborhoods that provide access to well funded schools, even when black families are homeowners. Other researchers such as Deirdre Royster and Lauren Rivera discuss the importance of exclusive white networks that systematically neglect blacks when sharing vital information about education and careers in schools and workplaces.

According to the New York Times, research from everyone from the Department of Health and Human Services to the CDCP, National Survey of Family Growth, the Tinina Q. Cade Foundation, and black women themselves shows that, despite centuries’ old stereotypes and even fears that black women are particularly fertile, well, they’re not. In fact, married black women have twice the odds of infertility than white married women, but it’s rarely talked about.

Regina Townsend of thebrokenbrownegg.org tells the Times:

“With women of color, specifically Hispanic and African-American women, the stigma attached to us is that it’s not hard to have kids, and that we have a lot of kids,” she said. “And when you’re the one that can’t, you feel like, ‘I’ve failed.’”

Some of the disparity in seeking treatment for infertility comes from differing health networks (see our recent piece with Brian Southwell for more on that) and some from differing financial positions (see decades upon decades of research on the wealth gap between black and white U.S. citizens). That is, black women seem less likely to talk to other women, their gynecologists, and their faith communities about fertility (or a lack thereof), and they’re less likely to have the resources—financial, medical, and network-wise—to seek infertility treatment.

Part of the problem, said Arthur L. Greil, a sociologist at Alfred University in western New York who has studied infertility and women of color, is that middle-class white women tend to have the confidence and connections to navigate the health care system better than less affluent minority women.

Even further, since fibroids (benign tumors that can significantly affect fertility) are more prevalent among black women and black women take longer to reach out for fertility advice, problems are compounded by time. Fertility drops naturally over the years, of course, but Dr. David B. Seifer said:

…fibroids [are] just one of various “cultural issues, biological issues and social issues” black women face that can affect their fertility. He said black women often waited longer to seek a diagnosis of or treatment for infertility, which “gives all of these other biological factors more time to become more severe.”

As Cariesha Tate Singleton told the article’s author, she knows she’s up against a stereotype that women like her are naturally “baby-producing machines.” Groups like Fertility for Colored Girls are working to change that notion.

For many, the “American Dream” means owning a comfortable home in a nice neighborhood, and that idea brings a certain Mellencamp tune to mind.

The song nods to a deeper point: the history of American housing policy from the New Deal and the G.I. Bill onwards was often defined by who couldn’t get a little pink house. In fact, racial biases among policymakers and bureaucrats made it difficult or impossible for minorities to get support for housing in white neighborhoods (For a great account of this history, see Ira Katznelson’s book When Affirmative Action Was White, or his recent blog post over at The Scholars Strategy Network).

Today’s housing policies may be flipping the script on this story, but not necessarily in a good way.

The Atlantic Cities reports new research from NYU Sociologist Jacob Faber on the 2006 housing bubble that preceded the massive economic crash and kickoff to the U.S. “Great Recession” in 2008. It turns out that during this bubble, in addition to denying home loans to racial minority groups, banks were also targeting minority groups for lower quality loans. The article reports:

Black and Hispanic families making more than $200,000 a year were more likely on average to be given a subprime loan than a white family making less than $30,000 a year… blacks were 2.8 times more likely to be denied for a loan, and Latinos were two times more likely. When they were approved, blacks and Latinos were 2.4 times more likely to receive a subprime loan than white applicants.

Faber adds that the trend doesn’t just deny support to these minority groups, it actually ignores their financial successes.

…this data offers another illustration that middle-class blacks have often not been able to leverage their income status for the same benefits as middle-class whites.

Ain’t that America?

A social problem examined by sociologists for decades, the white-black wealth gap has widened to record highs during the recession, with the median wealth for white households at twenty times that of their black counterparts. On the Boston Globe’s Brainiac blog, Kevin Hartnett shares a recent study by Princeton sociology graduate student Rourke O’Brien. The study quantitatively tests the idea that this wealth discrepancy is due, in part, to giving or loaning money to relatives.

Middle-income blacks are more than twice as likely as middle-income whites to have a poor sibling and more than four times as likely to have parents below the poverty line. And because of these relationships, they’re called upon more often to provide financial assistance.

Whereas investments can be used to generate more wealth, gifts and informal loans to family members are usually spent  paying bills or covering immediate financial needs. O’Brien argues that informal financial support networks can account for roughly 27% of the white-black wealth gap.